RATHI BARS LIMITED

CIN: L74899DL1993PLC054781

Regd. Office: A-24/7, Mohan Co-operative Industrial. Estate, New Delhi-110044

Ph.:011-42760373, 42730360

Web: www.rathisteels.com; E-mail:[email protected]

May 28, 2026

The Manager, Listing Department
BSE Limited
Phiroz Jeejeebhoy Towers,
Dalal Street,
Mumbai- 400001
Maharashtra, India

Scrip Code: 532918
Symbol: RATHIBAR

Subject: Outcome of the Board Meeting held on Thursday, the 28th day of May, 2026 at 02:30 P.M. and concluded at 05:05 P.M.

Dear Sir/Ma’am,

Pursuant to Regulation 30, 33 and other applicable provisions of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirement), Regulation, 2015 (“Listing Regulations”) This is to inform you that the Board of Directors in their meeting held on Thursday, the 28th day of May, 2026, interalia, has considered and approved the Audited Financial Results (Standalone & Single Segment) for the quarter & financial year ended 31st March, 2026.

We would further like to state that M/s MASAR & Co., statutory auditor of the Company, has issued the audit report with modified opinion on the Financial Results.

A copy of outcomes & Audited Financial Results for the quarter & financial year ended 31st March 2026 on standalone basis along with Auditor’s Report along with the statement on impact of Audit Qualifications are attached herewith.

The meeting of the Board commenced at 02:30 P.M. and concluded at 05:05 P.M.

The above information will also be disseminated on the website of the Company i.e. www.rathisteels.com

You are requested to take the information on your records.

Thanking you,

For Rathi Bars Limited

Anurag Rathi
Digitally signed by
Anurag Rathi
Date: 2026.05.28
17:06:21 +05'30"

Anurag Rathi
Managing Director
DIN: 0006334

RATHI BARS LIMITED

CIN: L74899DL1993PLC054781

Regd. Office: A-24/7, Mohan Co-operative Industrial. Estate, New Delhi-110044

Ph.:011-42760373, 42730360

Web: www.rathisteels.com; E-mail:[email protected]

Outcome of Board Meeting held on May 28, 2026

Dear Sir / Madam,

Pursuant to Regulations 30, 33 and other applicable of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirement), Regulation, 2015 ("Listing Regulations"), This is to inform you that the meeting of the Board of Directors of the Company held on Thursday, the 28th day of May, 2026, at 2:30 P.M. at the Registered Office of the Company and concluded at 05:05 P.M.

The Board, inter alia, considered, discussed and approved/noted the following matters:

Election of Chairman

Mr. Anurag Rathi, Managing Director, was elected as Chairman of the Meeting.

Grant of Leave of Absence

Leave of absence was granted to Mr. Hukum Singh, Director, who expressed his inability to attend the meeting.

Minutes of Audit Committee

The minutes of the meetings of the Audit Committee were placed before the Board and taken on record.

Confirmation of Previous Board Meeting Minutes

The minutes of the previous Board Meeting were approved and signed by the Chairman.

Standalone Audited Financial Results (FY 2025–26)

The Board considered and approved the standalone audited financial results for the quarter and financial year ended 31.03.2026.

Auditor’s Report

The Auditor’s Report along with modified opinion on the standalone audited financial results for the year ended 31.03.2026 was considered and taken on record.

Related Party Transactions

All related party transactions for the year ended 31.03.2026 were reviewed and approved.

Statutory Quarterly Compliances

The Board reviewed and noted compliance with applicable statutory and SEBI requirements.

Status of Closure / Suspension of Manufacturing Operations

The Board reviewed and noted that the manufacturing operations of the Company continue to remain suspended.

10. Way Forward for Revival and Re-Commencement of Operations

The Board reviewed the way forward for revival and noted that a writ petition has been filed before the Hon'ble Rajasthan High Court for re-commencement of operations.

11. Status of Engagement of Advisors

The Board took note of the engagement and progress of work of Ernst & Young (E&Y) as Professional Advisors and Menon & Associates as Legal Advisors.

12. Discussion with Bankers and Lenders

The Board reviewed and noted that discussions with bankers and lenders regarding moratorium, restructuring and fresh credit facilities are ongoing.

13. Pending Debt and Interest Servicing Obligations

The Board reviewed the pending debt and interest servicing obligations and noted that there is no material change since the last meeting.

14. Interim Arrangement for Fixed Expenses

The Board reviewed and approved continuation of the interim arrangement for payment of fixed and unavoidable expenses of the Company.

15. Any Other Business:

With the permission of the Chair, the Board considered the recommendation of M/s MASAR & Co., Statutory Auditors, regarding creation of provisions for doubtful and disputed debtors.

After detailed deliberations, the Board approved creation of necessary provisions in the financial statements in accordance with applicable accounting standards and legal requirements.

The Meeting concluded with a vote of thanks to the Chair.

This is for your information and records.

For Rathi Bars Limited

Anurag Rathi
Digitally signed by Anurag Rathi
Date: 2026.05.28 17:06:38 +05'30'

Anurag Rathi
Managing Director
DIN: 00063345

Encl: As above

MASAR & CO
(Chartered Accountants)
INDIA
B-113, 11nd Floor, Sector-64, Noida-201301 (U.P.)
Phone: 9891473868
E-mail: [email protected]
Web.: www.masarindia.com

INDEPENDENT AUDITOR'S REPORT

TO THE MEMBERS OF RATHI BARS LIMITED

Report on the Audit of the Standalone Financial Statements

Qualified Opinion

We have audited the accompanying standalone financial statements of RATHI BARS LIMITED (the “Company”), which comprise the Balance Sheet as at March 31, 2026, the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Changes in Equity and the Statement of Cash Flows for the year ended on that date and notes to the financial statements, including a summary of material accounting policies and other explanatory information (hereinafter referred to as the “Standalone Financial Statements”).

In our opinion and to the best of our information and according to the explanations given to us, except for the effects of the matter described in the Basis for Qualified Opinion paragraph, the aforesaid Standalone Financial Statements give the information required by the Companies Act, 2013 (the “Act”) in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act, (“Ind AS”) and other accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2026 and its profit, total comprehensive income, changes in equity and its cash flows for the year ended on that date.

Basis for Qualified Opinion

As referred in Note No. 15, the Company has Cash Credit facilities from Axis Bank (A/c No. 925030016161118) and Yes Bank (A/c No. 524LA41252510001) having outstanding balances of ₹60.08 crore and ₹19.68 crore, respectively, as at the balance sheet date. The first default in repayment/servicing of dues in respect of the Axis Bank account occurred on 5 March 2026 and in respect of the Yes Bank account on 31 March 2026, and both the accounts were inoperative as at the reporting date. Further, no balance confirmations or status confirmations of the said accounts have been received from the respective banks up to the date of this report.

As referred in Note No. 13(a) and 13(b) to the financial statements, the Company has term loan of HDFC Bank (A/c No. 003LN65222180001) having an outstanding balance of ₹4.07 Crore as at the Balance Sheet date. However, the Company has not paid principal and interest dues in respect of term loan since January 2026. Further, no balance confirmations and status of accounts have been received from the respective banks as at the date of this report.

The Company has availed invoice discounting facilities through the TReDS platform against its trade payables. As at the reporting date, an amount of ₹64.21 Crore remains outstanding towards the TReDS financier, which has not been repaid by the Company and is presently under litigation.

As stated in the Board minutes of Board Meeting dated 10th April 2026, the Board has noted, approved and ratified the temporary suspension of manufacturing operations of the Company due to, inter alia, income-tax search proceedings commenced on 15 December 2025, invocation of GRAP Stage IV restrictions in NCR by CAQM, suo-moto amendment of Consent to Operate (CTO) by RSPCB dated 16 January 2026 and significant increase (25%) in power tariffs by Jaipur Vidyut Vitran Nigam

MASAR & CO
(FRN 40029N)
Other Offices : Delhi

Limited (JVVNL). These events indicate existence of uncertainty which may cast doubt on the Company's ability to continue as a going concern.

As referred in Note No. 7 to the financial statements, the Company's sundry debtors are carried in the Balance Sheet at ₹94.56 crore as at the reporting date. During the course of external balance confirmation procedures, balances aggregating to approximately ₹30 crore were disputed/disagreed by the respective parties. In view of such uncertainties regarding recoverability, the Management has created a provision for bad and doubtful debts amounting to 25% of the disputed/disagreed trade receivables balance.

The Company Secretary resigned from the office with effect from 22 March 2026, and the position of Company Secretary remained vacant as on the date of this Report. Consequently, the Financial Statements do not bear the signature of the Company Secretary as required under Section 134 of the Companies Act, 2013.

We conducted our audit of the Standalone Financial Statements in accordance with the Standards on Auditing ("SA"s) specified under section 143(10) of the Act. Our responsibilities under those Standards are further described in the Auditor's Responsibilities for the Audit of the Standalone Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India ("ICAI") together with the ethical requirements that are relevant to our audit of the Standalone Financial Statements under the provisions of the Act and the Rules made thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the ICAI's Code of Ethics. We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the Standalone Financial Statements.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the Standalone Financial Statements of the current period. These matters were addressed in the context of our audit of the Standalone Financial Statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. We have determined the matters described below to be the key audit matters to be communicated in our report.

We have determined that there are no key audit matters to communicate in our report.

Other Matters

We draw attention to the fact that the Income Tax Department conduct a search at the premises of the company in December, 2025. The proceeding arising out of the said search are ongoing and, therefore, the resultant tax liability, if any, has not been determined as at the date of this audit report.

Information Other than the Financial Statements and Auditor's Report Thereon

The Company's Board of Directors is responsible for the other information. The other information comprises the information included in the Management Discussion and Analysis, Board's Report including Annexures to Board's Report, Business Responsibility and Sustainability Report, Corporate

WASAR & CO.

Governance and Shareholder's Information, but does not include the consolidated financial statements, Standalone Financial Statements and our auditor's report thereon.

Our opinion on the Standalone Financial Statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the Standalone Financial Statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the Standalone Financial Statements or our knowledge obtained during the course of our audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and Board of Directors for the Standalone Financial Statements

The Company's Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these Standalone Financial Statements that give a true and fair view of the financial position, financial performance, including other comprehensive income, changes in equity and cash flows of the Company in accordance with the accounting principles generally accepted in India, including Ind AS specified under section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Standalone Financial Statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the Standalone Financial Statements, management and Board of Directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Company's Board of Directors are also responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Standalone Financial Statements

Our objectives are to obtain reasonable assurance about whether the Standalone Financial Statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Standalone Financial Statements.

MAISAR & CO. FRIDAY 1329N

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the Standalone Financial Statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal financial control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 1 43(3)(i) of the Act, we are also responsible for expressing our opinion on whether the Company has adequate internal financial controls with reference to Standalone Financial Statements in place and the operating effectiveness of such controls.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the management.
Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the Standalone Financial Statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Company to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the Standalone Financial Statements, including the disclosures, and whether the Standalone Financial Statements represent the underlying transactions and events in a manner that achieves fair presentation.

Materiality is the magnitude of misstatements in the Standalone Financial Statements that, individually or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user of the Standalone Financial Statements may be influenced. We consider quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements in the Standalone Financial Statements.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal financial controls that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

WILISAR & CO.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the Standalone Financial Statements of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

As required by Section 143(3) of the Act, based on our audit we report that:

a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.

c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive Income, Statement of Changes in Equity and the Statement of Cash Flows dealt with by this Report are in agreement with the books of account.

d) In our opinion, the aforesaid Standalone Financial Statements comply with the Ind AS specified under Section 133 of the Act.

e) On the basis of the written representations received from the directors as on March 31, 2026 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2026 from being appointed as a director in terms of Section 164(2) of the Act.

f) With respect to the adequacy of the internal financial controls with reference to Standalone Financial Statements of the Company and the operating effectiveness of such controls, refer to our separate Report in “Annexure A”. Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Company’s internal financial controls with reference to Standalone Financial Statements.

g) With respect to the other matters to be included in the Auditor’s Report in accordance with the requirements of section 197(16) of the Act, as amended, in our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 of the Act.

h) With respect to the other matters to be included in the Auditor’s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and to the best of our information and according to the explanations given to us:

i. There is no pending litigation which would have impact on its financial position and its financial Statements.

MASAR & CO. FRIDAY 2829N

ii. The Company has made provision as required under applicable law or accounting standards for material foreseeable losses. The Company did not have any long-term derivative contracts.

iii. There has been no delay in transferring amounts, required to be transferred to the Investor Education and Protection Fund by the Company.

iv.

(a) The Management has represented that, to the best of its knowledge and belief, no funds (which are material either individually or in the aggregate) have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person or entity, including foreign entity (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, whether, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries;

(b) The Management has represented, that, to the best of its knowledge and belief, no funds (which are material either individually or in the aggregate) have been received by the Company from any person or entity, including foreign entity (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company shall, whether, directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries;

(c) Based on the audit procedures that have been considered reasonable and appropriate in the circumstances, nothing has come to our notice that has caused us to believe that the representations under sub-clause (i) and (ii) of Rule 11(e), as provided under (a) and (b) above, contain any material misstatement.

v. The company has not declared or paid any dividend during the year

vi. Based on our examination, which included test checks, the Company has used accounting software systems for maintaining its books of account for the financial year ended March 31, 2026 which have the feature of recording audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions recorded in the software systems. Further, during the course of our audit we did not come across any instance of the audit trail feature being tampered with and the audit trail has been preserved by the Company as per the statutory requirements for record retention.

WILIS AIR & CO. PROVIDER RESEARCH

As required by the Companies (Auditor’s Report) Order, 2020 (the “Order”) issued by the Central Government in terms of Section 143(11) of the Act, we give in “Annexure B” a statement on the matters specified in paragraphs 3 and 4 of the Order.

For MASAR & Co.
Chartered Accountants
(FRN: 033829N)

Place: New Delhi
Date: 28.05.2026

CA. Shashi Shekhar Rai
(Partner)
Membership No.519011
UDIN: 26519011NCOMLG6792

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 1(f) under ‘Report on Other Legal and Regulatory Requirements’ section of our report to the Members of RATHI BARS LIMITED of even date)

Report on the Internal Financial Controls with reference to Standalone Financial Statements under Clause (i) of sub-section 3 of Section 143 of the Companies Act, 2013 (the “Act”)

We have audited the internal financial controls with reference to Standalone Financial Statements of RATHI BARS LIMITED (the “Company”) as of March 31, 2026 in conjunction with our audit of the Standalone Financial Statements of the Company for the year ended on that date.

Managements and Board of Directors’ Responsibilities for Internal Financial Controls

The Company’s Management and Board of Directors are responsible for establishing and maintaining internal financial controls with reference to Standalone Financial Statements based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India (the “ICAI”). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company’s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.

Auditor’s Responsibility

Our responsibility is to express an opinion on the Company’s internal financial controls with reference to Standalone Financial Statements based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the “Guidance Note”) issued by the ICAI and the Standards on Auditing prescribed under Section 143(10) of the Act, to the extent applicable to an audit of internal financial controls with reference to Standalone Financial Statements. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to Standalone Financial Statements was established and maintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls with reference to Standalone Financial Statements and their operating effectiveness. Our audit of internal financial controls with reference to Standalone Financial Statements included obtaining an understanding of internal financial controls with reference to Standalone Financial Statements, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.

We believe that the audit evidence we have obtained, is sufficient and appropriate to provide a basis for our audit opinion on the Company’s internal financial controls with reference to Standalone Financial Statements.

HASAR & CO.

Meaning of Internal Financial Controls with reference to Standalone Financial Statements

A company's internal financial control with reference to Standalone Financial Statements is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company's internal financial control with reference to Standalone Financial Statements includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the company's assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls with reference to Standalone Financial Statements

Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls with reference to Standalone Financial Statements to future periods are subject to the risk that the internal financial control with reference to Standalone Financial Statements may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion, to the best of our information and according to the explanations given to us, the Company has, in all material respects, an adequate internal financial controls with reference to Standalone Financial Statements and such internal financial controls with reference to Standalone Financial Statements were operating effectively as at March 31, 2026, based on the criteria for internal financial control with reference to Standalone Financial Statements established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the ICAI.

For MASAR & Co.
Chartered Accountants
(FRN: 033829N)

Place: New Delhi
Date: 28.05.2026

CA. Shashi Shekhar Raj
(Partner)
Membership No.519011
UDIN: 26519011NCOMLG6792

ANNEXURE 'B' TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 2 under ‘Report on Other Legal and Regulatory Requirements’ section of our report to the Members of Rathi Bars Limited of even date)

To the best of our information and according to the explanations provided to us by the Company and the books of account and records examined by us in the normal course of audit, we state that:

i) In respect of the Company’s property, plant and equipment, right-of-use assets and intangible assets:

(a)
- The Company has maintained proper records showing full particulars, including quantitative details and situation of property, plant and equipment and relevant details of right-of-use assets.
- The Company has maintained proper records showing full particulars of intangible assets.

(b) The Company has a program of physical verification of property, plant and equipment and right-of-use assets so to cover all the assets once every three years which, in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. Pursuant to the program, certain property, plant and equipment and right-of-use assets were due for verification during the year and were physically verified by the Management during the year. According to the information and explanations given to us, no material discrepancies were noticed on such verification.

(c) Based on our examination of the property tax receipts and lease agreement for land on which building is constructed, registered sale deed / transfer deed / conveyance deed provided to us, we report that, the title in respect of self-constructed buildings and title deeds of all other immovable properties (other than properties where the company is the lessee and the lease agreements are duly executed in favour of the lessee), disclosed in the financial statements included under Property, Plant and Equipment are held in the name of the Company as at the balance sheet date.

(d) The Company has not revalued any of its property, plant and equipment (including right-of-use assets) and intangible assets during the year.

(e) No proceedings have been initiated during the year or are pending against the Company as at March 31, 2026 for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (as amended in 2016) and rules made thereunder.

ii)

(a) The Management has conducted physical verification of inventory at reasonable intervals during the year. In our opinion, the coverage and procedure of such verification by the management is appropriate and no discrepancies of 5% or more in the aggregate for each class of inventory were noticed.

(b) The Company has working capital limits in excess of ₹5 crore sanctioned by banks on the basis of security of current assets. The monthly statements in respect of such working capital limits filed by the Company with the banks were in agreement with the books of account of the Company for the respective periods, which were not subject to

MAISAR & CO. FRN 423/25N Referred Accommodations

audit/review. However, the Company has not submitted such monthly statements to the banks from March 2026 onwards

iii) As informed to us, the company has not granted any loans, secured or unsecured, to companies, firms or other parties covered in the register maintained under section 189 of the companies act. Accordingly, the sub clause (a), (b), (c), (d), (e) and (f) are not applicable to the company

iv) The Company has complied with the provisions of Sections 185 and 186 of the Companies Act, 2013 in respect of loans granted, investments made and guarantees and securities provided, as applicable.

v) The Company has not accepted any deposit or amounts which are deemed to be deposits. Hence, reporting under clause 3(v) of the Order is not applicable.

vi) We have broadly reviewed the books of account maintained by the company pursuant to the rules made by Central Government for the maintenance of the cost records under section 148(1) of the companies act, 2013, related to the manufacturing activities and are of opinion the prima facie, the specified accounts and records have been made and maintained. We have not, however, made a detailed examination of the same.

vii) In respect of statutory dues:

(a) In our opinion, the Company has generally been regular in depositing undisputed statutory dues, including Goods and Services tax, Provident Fund, Employees’ State Insurance, Income Tax, Sales Tax, Service Tax, duty of Custom, duty of Excise, Value Added Tax, Cess and other material statutory dues applicable to it with the appropriate authorities.

There were no undisputed amounts payable in respect of Goods and Service tax, Provident Fund, Employees’ State Insurance, Income Tax, Sales Tax, Service Tax, duty of Custom, duty of Excise, Value Added Tax, Cess and other material statutory dues in arrears as at March 31, 2026 for a period of more than six months from the date they became payable.

(b) Details of statutory dues referred to in sub-clause (a) above which have not been deposited as on March 31, 2026 on account of disputes are given below:

Name of the statute	Nature of the dues	Gross amount (In lacs)	Amount Paid under protest (in lacs)	Period to the which the amount relates	Forum where dispute is pending
Income tax act,1961	Income tax (Quantum)	2.01	Nil	AY 2014-15	CIT(A)
Income tax act,1961	Income tax (Quantum)	17.67	Nil	AY 2015-16	CIT(A)

WAGAR & CO. FRN 628529N

Goods and Services tax	Goods and Services tax (Quantum)	11.11	Nil	FY August 2017 to September 2020	Appellate Authority
Goods and Services tax	Goods and Services tax (Quantum)	24.64	Nil	FY 2018-19	GST Adjudicating Authority

viii) There were no transactions relating to previously unrecorded income that have been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (43 of 1961).

ix)

(a) According to the information and explanations given to us and based on the audit procedures performed by us, the Company has defaulted in repayment of loans/borrowings and payment of interest thereon to banks during the year. As the balance referred in Note No. 15 to the financial statements, the Company has defaulted in repayment/servicing of dues relating to Cash Credit facilities availed from Axis Bank and Yes Bank having outstanding balances of ₹60.08 crore and ₹19.68 crore, respectively, as at the balance sheet date. The first default in respect of Axis Bank occurred on 5 March 2026 and in respect of Yes Bank on 31 March 2026.

Further, as referred in Note No. 13(a) and 13(b) to the financial statements, the Company has also defaulted in repayment of principal and interest dues in respect of term loan availed from HDFC Bank having an outstanding balance of ₹4.07 crore as at the balance sheet date, since January 2026.

Further, no balance confirmations or status confirmations of the aforesaid borrowings have been received from the respective banks up to the date of this report.

(b) According to the information and explanations given to us, including confirmations received from banks and representations received from the management of the company and on the basis of our audit procedures, we report that the company has not been declared a wilful defaulter by any bank or financial institution or other lender.

(c) In our opinion and according to the information and explanations given to us, money raised by way of term loans were applied for the purposes for which these were obtained.

(d) On an overall examination of the financial statements of the Company, funds raised on short-term basis have, prima facie, not been used during the year for long-term purposes by the Company.

(e) On an overall examination of the financial statements of the Company, the Company has not taken any funds from any entity or person on account of or to meet the obligations of its subsidiaries.

(f) According to the information and explanations given to us, the company has not raised any loans during the year on the pledge of securities held in its subsidiaries or joint venture

MASAR & CO.

(a) The Company has not raised moneys by way of initial public offer or further public offer (including debt instruments) during the year and hence reporting under clause 3(x)(a) of the Order is not applicable.

(b) During the year, the Company has not made any preferential allotment or private placement of shares or convertible debentures (fully or partly or optionally) and hence reporting under clause 3(x)(b) of the Order is not applicable.

xi)

(a) No fraud by the Company and no material fraud on the Company has been noticed or reported during the year.

(b) No report under sub-section (12) of section 143 of the Companies Act has been filed in Form ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors) Rules, 2014 with the Central Government, during the year and up to the date of this report.

(c) We have taken into consideration the whistle blower complaints received by the Company during the year (and up to the date of this report), while determining the nature, timing and extent of our audit procedures.

xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of the Order is not applicable.

xiii) In our opinion, the Company is in compliance with Section 177 and 188 of the Companies Act, 2013 with respect to applicable transactions with the related parties and the details of related party transactions have been disclosed in the Standalone Financial Statements as required by the applicable accounting standards.

xiv)

(a) In our opinion, the Company has an adequate internal audit system commensurate with the size and the nature of its business.

(b) We have considered, the internal audit reports for the year under audit, issued to the Company during the year and till date, in determining the nature, timing and extent of our audit procedures.

xv) In our opinion, during the year the Company has not entered into any non-cash transactions with its Directors or persons connected with its directors and hence provisions of section 192 of the Companies Act, 2013 are not applicable to the Company.

xvi)

(a) In our opinion, the Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934. Hence, reporting under clause 3(xvi)(a), (b) and (c) of the Order is not applicable.

(b) In our opinion, there is no core investment company within the Group (as defined in the Core Investment Companies (Reserve Bank) Directions, 2016) and accordingly reporting under clause 3(xvi)(d) of the Order is not applicable.

MASAR & CO.

xvii) The Company has incurred no cash losses during the financial year covered by our audit, however there was cash loss in the immediately preceding financial year.

xviii) There has been no resignation of the statutory auditors of the Company during the year.

xix) On the basis of the financial ratios, ageing and expected dates of realisation of financial assets and payment of financial liabilities, other information accompanying the financial statements and our knowledge of the Board of Directors and Management plans and based on our examination of the evidence supporting the assumptions, except for the matters described in the Basis for Qualified Opinion paragraph of the Independent Auditor’s Report, which indicate the existence of a uncertainty that may cast significant doubt on the Company’s ability to continue as a going concern, nothing has come to our attention which causes us to believe that the Company is not capable of meeting its liabilities existing at the date of the balance sheet as and when they fall due within a period of one year from the balance sheet date.

We further state that our reporting is based on the facts up to the date of the audit report and we neither give any guarantee nor any assurance that all liabilities falling due within a period of one year from the balance sheet date will get discharged by the Company as and when they fall due.

xx) The provisions relating to Corporate Social Responsibility under section 135 of the companies act,2013 are not applicable to the company. Accordingly, reporting under clause 3(xx)(a) of the Order is not applicable to the company.

xxi) The reporting under Clause 3(xxi) of the order is not applicable in respect of audit of standalone financial Statements. Accordingly, no comment in respect of the said clause has been included in his report

For MASAR & Co.
Chartered Accountants
(FRN: 033829N)

Place: New Delhi
Date: 28.05.2026

CA. Shashi Shekhar Raj
(Partner)
Membership No.519011
UDIN: 26519011NCOMLG6792

RATHI BARS LIMITED
Regd. Office : A-24/7, Mohan Co-Operative Industrial Estate, Mathura Road, New Delhi-110044

Standalone Balance Sheet as at 31st March, 2026.		(All amounts in Rs. Lacs unless otherwise stated)
Particulars	Notes	As at 31 March,2026	As at 31 March,2025
ASSETS
Non-current assets
(a) Property, plant and equipment	3	4,080.25	4,135.40
(b) Capital work-in-progress		-	503.15
(c) Financial assets
-Investments	4	7.72	7.72
(d) Deferred Tax Assets (Net)			-
(e) Other non-current Assets
-Investment in Gold / Silver	5	14.68	14.68
Sub-total - Non-Current Assets		4,102.65	4,660.95
Current assets
(a) Inventories	8	218.48	1,287.01
(b) Financial assets
-Investments		-	-
-Trade receivables	7	8,707.90	9,744.81
-Cash and cash equivalents	8	2.80	24.77
-Loans & Advances	9	12,372.71	8,561.64
(c) Current Tax Assets (net)		-	-
(d) Other Current Assets	10	0.86	0.39
Sub-total - Current Assets		21,302.75	19,618.62
TOTAL - ASSETS		25,405.40	24,279.57
EQUITY AND LIABILITIES
EQUITY
(a) Equity Share capital	11	1,633.04	1,633.04
(b) Other equity	12	6,863.70	8,015.96
Sub-total - Equity		8,496.74	9,649.00
LIABILITIES
Non-current liabilities
(a) Financial liabilities
-Borrowings	13	400.31	736.96
(b) Provisions	14	54.52	48.91
(c) Deferred tax liabilities (net)		387.65	461.03
(d) Other non-current liabilities
Sub-total - Non-current liabilities		842.48	1,246.90
Current liabilities
(a) Financial liabilities
-Borrowings	15	8,184.03	7,461.26
-Trade payables	16	1,160.63	758.65
(b) Other current liabilities	17	6,711.32	5,154.68
(c) Provisions	18	10.20	9.08
(d) Current tax liabilities (net)		-	-
Sub-total - Current liabilities		16,066.18	13,383.67
TOTAL - EQUITY AND LIABILITIES		25,405.40	24,279.57

General Information
1

Significant Accounting Policies & Notes on Accounts
2

As per our report of even date attached
For MASAR & Co.
Chartered Accountants
FRN: 033829N

CA. Shashi Shekhar Raj
Partner
Membership No.510011
UDIN: 26519011NCOMLG16792

Place: New Delhi
Date: 28/08/2026

For and on behalf of the Board of Directors

Uddhav Rathi
(Whole Time Director and CFO)
DIN No: 06604905

Anurag Rathi
(Managing Director)
DIN No: 00063345

RATHI BARS LIMITED

Regd. Office : A-24/7, Mohan Co-Operative Industrial Estate, Mathura Road, New Delhi-110044

Statement of Profit and Loss for the Year ended 31st March, 2026
(All amounts in Rs. Lacs unless otherwise stated)

| Particulars | | Note No. | For the Year ended
31 March,2026
(Rs in Lacs) | For the Year ended
31 March,2025
(Rs in Lacs) |
| --- | --- | --- | --- | --- |
| 1 | Income | | | |
| (a) | Revenue from Operations | 19 | 36,859.90 | 49,628.82 |
| (b) | Other Income | 20 | 131.61 | 141.77 |
| | Total Income | | 36,991.51 | 49,770.59 |
| 2 | Expenses | | | |
| (a) | Cost of Materials consumed | 21 | 13,906.49 | 29,815.84 |
| (b) | Purchase of stock-in-trade | | 19,823.30 | 16,164.47 |
| (c) | Changes in inventories of finished goods, work-in- | 22 | 403.15 | 360.97 |
| (d) | Employee benefits expense | 23 | 419.80 | 519.75 |
| (e) | Finance Costs | 24 | 609.40 | 649.98 |
| (f) | Depreciation and amortisation expense | | 498.77 | 476.02 |
| (g) | Other expenses | 25 | 2,556.25 | 1,431.96 |
| | Total Expenses | | 38,217.16 | 49,418.99 |
| 3 | Profit / (Loss) before exceptional items and Tax(1-2) | | (1225.65) | 351.60 |
| 4 | Exceptional Items | | | |
| 5 | Profit / (Loss) before tax (3 - 4) | | (1225.65) | 351.60 |
| 6 | Tax expense | | | |
| (a) | Current Tax | | - | 58.69 |
| (b) | Deferred tax (Refer Note-2 item 3g of notes of accounts) | | 73.39 | 36.35 |
| 7 | Net Profit / (Loss) for the period from Continuing
Operatin (5 - 6) | | (1152.26) | 256.56 |
| 8 | Profit & Loss from Discontinuing Operation | | - | - |
| 9 | Tax Expenses from Discontinuing operation | | - | - |
| 10 | Profit / (Loss) from Discontinuing Operation after Tax
(8-9) | | - | - |
| 11 | Net Profit / (Loss) for the period (7 + 10) | | (1152.26) | 256.56 |
| 12 | Other Comprehensive Income | | | |
| A | i Items that will not be reclassified to Profit or Loss | | - | - |
| | ii Income Tax relating to items that will not be
reclassified to Profit or Loss | | - | - |
| B | i Items that will be reclassified to Profit or Loss | | - | - |
| | ii Income Tax relating to items that will be
reclassified to Profit or Loss | | - | - |
| | Total Comprehensive Income (11+12) | | | |
| 13 | Earnings Per Share (EPS) ( of Rs. 10/- each) | | | |
| (a) | Basic and diluted (EPS) (in Rs.) | | (7.06) | 1.57 |
| | General Information | 1 | | |
| | Significant Accounting Policies & Notes on Accounts | 2 | | |

As per our report of even date attached

For MASAR & Co.

Chartered Accountants

FRN: 033829N

CA. Shashi Shekhar Rai

Partner

Membership No.519011

UDIN: 26519011NCOMLG6792

For and on behalf of the Board of Directors

Place : New Delhi

Date : 28/05/2026

RATHI BARS LIMITED
Regd. Office : A-24/7, Mohan Co-Operative Industrial Estate, Mathura Road, New Delhi-110044

Cash Flow Statement for Year ended 31st March, 2026

| S. No: | Particulars | Year Ended
31/03/2026 | Year Ended
31/03/2025 |
| --- | --- | --- | --- |
| A | Cash Flow from operating activities: | | |
| | Profit Before Taxation | (1225.65) | 351.60 |
| | Adjustments for: | | |
| | Depreciation | 498.77 | 476.02 |
| | Interest and Financial Charges | 609.40 | 649.98 |
| | Misc. Expenditure written off | - | - |
| | Pre-operative Expenses | - | - |
| | Loss / (Profit) on Mutual Fund | - | - |
| | Interest Income | (0.05) | 11.82 |
| | Dividend Income | - | - |
| | Operating Profit before working capital changes | (117.53) | 1489.42 |
| | Decreased (Increase) in Trade Receivables | 1036.90 | (2465.67) |
| | Decreased (Increase) in Inventories | 1068.53 | 282.40 |
| | Decreased (Increase) in Loan & Advances | (3811.07) | (4115.75) |
| | Decreased (Increase) in Other Current Assets | (0.46) | 0.00 |
| | Decreased (Increase) in Long Term Provisions | 5.61 | 0.00 |
| | Increase (Decrease) in Current Liabilities and Provisions | 1959.72 | 4572.48 |
| | Cash Generated from operations | 141.71 | (237.12) |
| | Income Tax paid | - | (58.69) |
| | Net cash provided by operating activities | 141.71 | (295.81) |
| B | Cash flow from investing activities: | | |
| | Proceeds from sale of fixed assets | 69.35 | - |
| | Sale / (Purchase) of Investments | - | - |
| | Sale / (Purchase) of Fixed assets and Capital Work in Progress | (9.81) | (611.20) |
| | Profit / (Loss) on Mutual Fund | - | - |
| | Income from Interest | 0.05 | (11.82) |
| | Income from Dividend | - | - |
| | Net cash used in investing activities | 59.59 | (623.02) |
| C | Cash Flow from Financing Activities | | |
| | Proceeds from Share Capital (Including Premium) | - | - |
| | Unclaimed Share Application Money Refundable | - | - |
| | Increase / (Decrease) in Reserves & Surplus | - | - |
| | Increase/(Decrease) in Long Term Borrowing | (336.64) | (252.24) |
| | Increase in Short Term Borrowing (Net) | 722.77 | 1797.00 |
| | Increase (Decrease) in Unsecured Loan | - | - |
| | Interest Paid | (609.40) | (649.98) |
| | Net Cash used in Financing Activities | (223.27) | 894.78 |
| D | Net increase (decrease) in cash and cash equivalents | (21.97) | (24.05) |
| E | Cash and Cash Equivalent at the beginning of the year | 24.77 | 48.82 |
| F | Cash and Cash Equivalent at the end of the year | 2.80 | 24.77 |

For MASAR & Co.
Chartered Accountants
FRN: 033829N

CA. Shashi Shekhar Rai
Partner
Membership No.519011
UDIN: 26519011NCOMLG6792

Place: New Delhi
Date: 28/05/2026

For and on behalf of the Board of Directors

Uddhav Rathi
(Whole Time Director and CFO)
DIN No: 08604905

Anurag Rathi
(Managing Director)
DIN No: 00063345

RATHI BARS LIMITED

Regd. Office : A-24/7, Mohan Co-Operative Industrial Estate, Mathura Road, New Delhi-110044

Statement of Changes in Equity for the year ended 31st March 2026

A. EQUITY SHARE CAPITAL

Changes in equity share capital during the year	(All amounts in Rs. Lacs unless otherwise stated)
As at 31st March,2024	1,633.04
Changes in equity share capital during the year	-
As at 31st March,2025	1,633.04
Changes in equity share capital during the year	-
As at 31st March,2026	1,633.04

B. OTHER EQUITY

Particulars		Reserve and Surplus	Securities Premium Account	Total
Balance as on March 31, 2024		5,973.69	1,785.71	7,759.40
i	Add/Less : Changes in Accounting Policy or Prior
Restated balance at 01 April, 2024		5,973.69	1,785.71	7,759.40
i	Add/Less : Total Comprehensive Income for the Year
ii	Dividends
iii	Transfer to Retained Earnings	256.56	-	256.56
iv	Any Other Change
Balance as on March 31, 2025		6,230.25	1,785.71	8,015.96
i	Add/Less : Changes in Accounting Policy or Prior
Restated balance at 01 April, 2025		6,230.25	1,785.71	8,015.96
i	Add/Less : Total Comprehensive Income for the Year
ii	Dividends
iii	Transfer to Retained Earnings	(1,152.26)	-	(1,152.26)
iv	Any Other Change
Balance as on March 31, 2026		5,077.99	1,785.71	6,863.70

As per our report of even date attached

For MASAR & Co.
Chartered Accountants
FRN : 033629N

CA. Shashi Shekhar Rai
Partner
Membership No.519011
UDIN : 26519011NCOMLG 6792

Place : New Delhi
Date : 28/05/2026

For and on behalf of the Board of Directors

Uddhav Rathi
(Whole Time Director and CFO)
DIN No: 06604905

Anurad Rathi
(Managing Director)
DIN No: 00063345

RATHI BARS LIMITED

NOTE-1

General Information

Rathi Bars Limited ("the Company") is a publicly listed limited company incorporated and domiciled in India under the Companies Act, 2013 ("the Act"). The registered office of the Company is located at A - 24 / 7, Mohan Co-Operative Industrial Estate, Mathura Road, New Delhi 110044. The Company's equity shares are listed at Bombay Stock Exchange (BSE).

The primary activities of the Company involve the manufacturing, marketing, branding, and distribution of TMT Bars and Low Carbon Billets under the brand name Rathi Shaktiman. To cater to the increasing demand for reinforcement steel bars in the construction sector, the Company has established a steel rolling mill in Khushkhera, Distt. Alwar, Rajasthan.

The standalone financial statements for the year ended March 31, 2026, were duly approved and authorized by the Board of Directors during their meeting held on May 28, 2026.

NOTE-2

BASIS OF PREPARATION, MEASUREMENT AND SIGNIFICANT ACCOUNTING POLICIES

1. Basis of Preparation, Measurement:

These standalone financial statements ('financial statements') of the Company have been prepared in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards ('Ind AS') specified under Section 133 of the Companies Act, 2013 ('the Act') and other relevant provisions of the Act. The Company has uniformly applied the accounting policies during the periods presented.

The financial statements are presented in Indian Rupees which is also the functional currency of the Company.

All assets and liabilities have been classified as current or noncurrent as per the Company's normal operating cycle and other criteria as set out in the Division II of Schedule III to the Companies Act, 2013. Based on the nature of products and the time between acquisition of assets for processing and their realisation in cash and cash equivalents, the Company has ascertained its operating cycle as 12 months for the purpose of current or non-current classification of assets and liabilities.

STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES:

a. Basis of Accounting:

These financial statements have been prepared under the historical cost convention on the accrual basis. The financial statements are presented in Indian Rupees which is the Company's functional and presentation currency.

b. Revenue Recognition:

Revenue is measured at the fair value of the consideration received or receivable. The Company requires revenues on sale of products, net of discounts, rebates granted, returns, GST and duties when the products are delivered to customer or when delivered to a carrier, which is when significant risks

and rewards of ownership pass to the customer. Revenue from sale of by-products are included in revenue.

c. Property, Plant & Equipment:

On transition to Ind AS, the Company has adopted optional exception under Ind AS 101 to measure Property, Plant and Equipment at carrying value under previous GAAP. Consequently the carrying value has been assumed to be deemed cost of Property, Plant and Equipment on the date of transition.

Subsequently Property, Plant and Equipment are stated at cost less accumulated depreciation and impairment losses, if any. Costs include costs of acquisitions or constructions including incidental expenses thereto, borrowing costs, and other attributable costs of bringing the asset to its working condition for its intended use and are net of available duty/tax credits.

Subsequent expenditure relating to property, plant and equipment is capitalized only when it is probable that future economic benefits associated with these will flow to the Company and the cost of the item can be measured reliably.

The residual values, useful lives and methods of depreciation of property, plant and equipment are reviewed at each financial year end and adjusted prospectively.

d. Capital work-in-progress:

Expenditure related to and incurred on implementation of new/expansion-cum-modernisation and up gradation of projects is included under capital work-in-progress until the relevant assets are ready for its intended use.

e. Intangible Assets:

Intangible assets as defined IND AS 38, are initially measured at cost. Intangible assets acquired in a business combination are recognised at fair value at the acquisition date. Subsequently, intangible assets are carried at cost less any accumulated amortisation and accumulated impairment losses, if any. The useful lives of intangible assets are assessed as either finite or indefinite.

f. Depreciation:

Depreciation is systematically allocated over the useful life of an asset as specified in Part C of Schedule II of Companies Act, 2013.

g. Financial Assets & Financial Liabilities:

Financial assets are recognised when the Company becomes a party to the contractual provisions of the instrument.

Financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument

h. Inventories:

Inventories are stated at the lower of cost and net realisable value.

Cost of raw materials include cost of purchase and other costs incurred in bringing the inventories to their present location and condition. Cost of finished goods include cost of direct materials and labour and proportion of manufacturing overheads based on the normal operating capacity. Costs of inventories are determined on weighted average basis.

NASAR
FRN400825N

Net realisable value represents the estimated selling price for inventories less all estimated costs of completion and costs necessary to make the sale.

i. Provisions:

Provisions are recognised when the Company has a present obligation (legal or constructive), as a result of past events, and it is probable that an outflow of resources, that can be reliably estimated, will be required to settle such an obligation.

j. Cash and Cash Equivalents:

Cash and cash equivalents are short-term (three months or less from the date of acquisition), highly liquid investments that are readily convertible into cash and which are subject to an insignificant risk of changes in value.

k. Retirement and other Employee Benefits:

i) Defined Contribution Plan

The company makes defined contribution to provident fund which is recognized in the profit & loss account on accrual basis.

ii) Defined Benefit Plan

The company’s liabilities under payment of Gratuity Act are determined on the basis of actuarial valuation made at the end of each financial year using the projected unit credit method.

l. Taxation:

i) Tax expense comprises of current and deferred tax.
ii) Provision for current tax is made on the basis of estimated taxable income for the current accounting year in accordance with the Income Tax Act, 1961.
iii) The deferred tax for timing difference between the books and taxable Income for the year is accounted for, using the tax rates and laws have been substantively enacted as on the balance sheet date. Deferred tax assets arising from timing difference are recognized to the extent there is reasonable certainty that these would be realized in future.
iv) Deferred tax assets in case of unabsorbed losses and unabsorbed depreciation are recognized only if there is virtual certainty that such deferred tax assets can be realized against future taxable profits

m. Contingent Liabilities:

Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount cannot be made.

FRIDAY, OCT 13 1961

2. Notes on Accounts:

a. The Company has provided liabilities on account of Defined Benefit Obligation on the basis of actuarial valuation as given by actuarial valuer, detailed disclosure in terms of Ind AS 19 (Revised) could not be made. However, in the opinion of the management, the amount is not material and defined benefit obligation has been provided.

b. Current Liabilities & Provisions:

i) Sundry creditors does not include any amount due to Micro, Small & Medium Enterprises (MSME Units) as on 31st March, 2026. (Rs 3.22 lacs amount due to Micro, Small & Medium Enterprises as on 31st March, 2025) as identified by the Company and relied upon by the auditors.

ii) The company has not received few intimations from “Suppliers” regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and thus accordingly disclosures, if any, relating to amounts unpaid as at the year-end together with interest paid/payable as required under the said Act have been provided.

c. Payment to Auditors in respect of:

| | | Year ended
on 31st March, 2026 | Year ended
on 31st March, 2025 |
| --- | --- | --- | --- |
| A | Audit Fees | Rs 3.50 Lacs | Rs 2.00 Lacs |
| | Fee for Limited Review | Rs 0.40 Lacs | Rs 0.40 Lacs |
| C | Out of Pocket Expenses | Rs 0.10 Lacs | Rs 0.10 Lacs |

d. Expenditure in Foreign Currency:

| Particulars | Year ended
on 31st March, 2026 | Year ended
on 31st March, 2025 |
| --- | --- | --- |
| Tour & Travels | Amount in Foreign Currency | Amount in Indian Rupees |
| Great Britain Pound | 5034 | 591550 |

e. Related Party disclosure, as required in IND AS 24:

All the transactions between all related parties are on arm’s length price and in due course of normal business.

List of Related Parties and relationship:

1. Key Managerial Person:

Bharti Chitkara (Company Secretary)
Anurag Rathi (Managing Director)
Uddhav Rathi (WTD and CFO)

Close members of Key Managerial Person:
Pushpa Rathi
Nandita Rathi
Vanshika Rathi
Parnika Rathi
Devanshi Rathi
Enterprises over which Key Management Personnel and their relatives exercise significant influence and with whom transactions have taken place during the year.
Rathi Special Steels Ltd
Bhiwadi Iron Pvt Ltd
Khushkhera Steels Pvt Ltd
Anurag Rathi HUF
Anupam Rathi HUF
Vasudev Exports Pvt Ltd
Parnika Leasing and Finance Pvt Ltd
Sarveshwar Cereals Pvt Ltd
Uddhav Leasing and Finance Pvt Ltd
Rathi Overseas Pvt Ltd

Transaction with Related Parties:

Description	Key Management Personnel		Close Family Members (relative)		R's in Lacs
	2025-26	2024-25	2025-26	2024-25	2025-26	2024-25
Purchase of goods	-	-	-	-	28.82	535.83
Sale of goods	-	-	-	-	3399.50	4386.94
Expense of service received	-	-	-	-	2.02	4.94
Income from service rendered	-	-	-	-	2.25	3.00
Remuneration paid	46.50	46.04	24.30	38.40	-	-

NASAR & CO.

f. Earning Per Share (EPS):

		Year ended on 31^{st} March, 2026
I	Profit after taxation as per Profit and Loss Account (in Lacs)	(1152.26)
II	Weighted Average number of equities shares outstanding (in Lacs)	163.30
III	Basic and Diluted earnings per share (in Rs)	(7.06)

g. Break-up of deferred Tax Liabilities is given as under:

| Particulars | As on 31.03.2026
(Amt. in Rs Lacs) | As on 31.03.2025
(Amt. in Rs Lacs) |
| --- | --- | --- |
| Depreciation | 387.64 | 461.03 |
| Carried Forward unabsorbed depreciation & Losses | - | - |
| | 387.64 | 461.03 |

h. Contingent liabilities not provided for:

Claims against the Company not acknowledged as debts (to the extent ascertained) in respect of various demands including Penalty etc. raised, which in the opinion of the management are not tenable are under appeal at various stages:

	Year ended on 31^{st} March, 2026	Year ended on 31^{st} March, 2025
Income Tax Matters	Rs.19.68 Lacs	Rs. 19.68 Lacs
GST Matters	Rs.24.64 Lacs	Rs. 11.11 Lacs

i. The figures of previous year have been re-arranged/re-grouped wherever felt necessary.

RATHI BARS LIMITED

K. RATIOS

The ratios for the years ended March 31, 2026 and March 31, 2025 are as follows:

	Numerator	Denominator	2025-26	2024-25	% of variation
Current Ratio	Current Assets	Current Liabilities	1.33	1.72	-23.08%
Reason of variance—Due to increase in short term borrowings and decrease in loans & advances.
Debt Equity Ratio	Total Debt	Shareholder's Equity	1.01	0.85	18.91%
Reason of variance—Not required to mention as variance is less than 25%
Debt Service Coverage Ratio	Earning available for debt services	Debt Service	(1.45)	1.24	-216.99%
Reason of variance—Due to increase in Non-Operating Expenses resulting into Losses after tax as compared to last year.
Return on Equity Ratio	Net profit after taxes	Avg. Shareholders Equity	-12.70%	2.69%	-571.29%
Reason of variance—Decrease in net profit after tax Due to loss on account of Non operating expenses after tax as compared to last year.
Inventory Turnover Ratio	Cost of Goods sold	Average Inventory	5.08	5.39	-5.74%
Reason of variance—Not required to mention as variance is less than 25%
Trade Receivables Turnover Ratio	Revenue	Average Trade Receivables	4.00	5.83	-31.48%
Reason of variance—Due to increase in trade receivables and decrease in revenue.
Trade Payables Turnover Ratio	Purchases of services and other expenses	Average Trade Payables	38.23	57.99	-34.07%
Reason of variance—Due to increase in Trade payables as compared to last year.
Net Capital Turnover Ratio	Revenue	Working Capital	7.06	7.98	-11.51%
Reason of variance—Not required to mention as variance is less than 25%
Net Profit Ratio	Net Profit	Revenue	-3.11%	0.52%	-704.28%
Reason of variance—Decrease in net profit after tax Due to loss on account of Non operating expenses after tax as compared to last year.
Return on Capital employed	Earning before Interest and taxes	Capital Employed	-6.64%	9.23%	-171.88%
Reason of variance—Decrease in net profit after tax Due to loss on account of Non operating expenses after tax as compared to last year.
Return on Investment	Return /Profit / Earnings	Investment	0.00%	0.00%
Reason of variance—Not required to mention as variance is less than 25%

NASAR & CO.

RATHI BARS LIMITED

L. Other Statutory Information:

i. The Group does not have any Benami property, where any proceeding has been initiated or pending against the Group for holding any Benami property.

ii. The Group does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

iii. The Group has not traded or invested in Crypto currency or Virtual Currency during the financial year.

iv. The Group has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

a. directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or,
b. provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

v. The Group has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

a. directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or,
b. provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

vi. The Group has no such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey) or any other relevant provisions of the Income Tax Act, 1961.

vii. The Group has not been declared as wilful defaulter by any bank or financial institution (as defined under the Companies Act, 2013) or consortium thereof, in accordance with the guidelines on wilful defaulters issued by the Reserve Bank of India.

viii. The Group does not have any transactions with Companies struck off.

RATHI BARS LIMITED

3. QUANTITATIVE INFORMATION :

A. PRODUCTION & PURCHASE

| Particulars | | | As at
31.03.2026 | As at
31.03.2025 |
| --- | --- | --- | --- | --- |
| 1. | Licensed Capacity | Steel Bars | 100,000.000 MT | 100,000.000 MT |
| | | Ingot / Billets | 68,500.000 MT | 68,500.000 MT |
| 2. | Actual Production & Purchase
Steel Bars | | 70,941.120 MT | 92,836.455 MT |
| | | TOTAL | 70,941.120 MT | 92,836.455 MT |

B. STOCKS

Particulars	Opening Stock				Closing Stock
	As at 01.04.2025		As at 01.04.2024		As at 31.03.2026		As at 31.03.2025
	QTY.
(in MT)	AMOUNT
(in Rs)	QTY.
(in MT)	AMOUNT
(in Rs)	QTY.
(in MT)	AMOUNT
(in Rs)	QTY.
(in MT)	AMOUNT
(in Rs)
Steel Bars	620.860	35,164,269	1,496.830	81,658,064	161.790	7,997,819	620.860	35,164,269
TOTAL	620.860	35,164,269	1,496.830	81,658,064	161.790	7,997,819	620.860	35,164,269

C. DESPATCH

Particulars	As at 31.03.2026		As at 31.03.2025
	QTY.
(in MT)	AMOUNT
(in Rs)	QTY.
(in MT)	AMOUNT
(in Rs)
Steel Bars*	71,400.190	3,226,567,301	93,712.425	4,495,612,845
Billets / Casting**	7,883.755	322,279,975	9,608.025	397,473,583
TOTAL	79,283.945	3,548,847,276	103,320.450	4,893,086,428

RATHI BARS LIMITED

D. CONSUMPTION

Particulars	As at 31.03.2026		As at 31.03.2025
	QTY. (in MT)	AMOUNT (in Rs)	QTY. (in MT)	AMOUNT (in Rs)
Ingots / Billets*	30,245,490	1,390,648,682	65,117,390	2,981,584,132
TOTAL	30,245,490	1,390,648,682	65,117,390	2,981,584,132

For MASAR & Co.
Chartered Accountants
FRN: 033826N

CA. Shashi Shekhar Nal
Partner
Membership No.519011
UDIN: 26519011NCOMLG6792

For and on behalf of the Board of Directors

Uddhav Rathi
(Whole Time Director and CFO)
DIN No: 06604905

Anurag Rathi
(Managing Director)
DIN No: 00063345

Place: New Delhi
Date: 28/05/2026

RATHI BARS LIMITED

Note-3
Non Current Assets - Property, plant and equipment

Particulars	GROSS BLOCK				DEPRECIATION				NET BLOCK
	As at	Addition	Deletion	As at	Up to	Addition	Deduction	Up to	As at	As at
	01.04.2025			31.03.2025	31.03.2025			31.03.2026	31.03.2026	31.03.2025
	Rs	Rs	Rs	Rs	Rs	Rs	Rs	Rs	Rs	Rs

Leashold Land	39.21	-	-	39.21	-	-	-	-	39.21	39.21
Building	443.64	-	-	443.64	371.17	6.88	-	378.05	65.59	72.47
Plant & Machinery	10,366.07	512.96	-	10,879.03	6,550.21	410.72	-	6,960.93	3,918.10	3,815.86
Tubewell	2.22	-	-	2.22	2.11	-	-	2.11	0.11	0.11
Furniture	25.63	-	-	25.63	22.05	0.93	-	22.98	2.65	3.58
Vehicle	518.53	-	103.40	415.13	314.35	80.24	34.05	360.54	54.59	204.18

	11,395.30	512.96	103.40	11,804.86	7,259.89	498.77	34.05	7,724.61	4,080.25	4,135.41
CWIP	503.15	-	503.15	-	-	-	-	-	-	503.15
Total	11,898.45	512.96	606.55	11,804.86	7,259.89	498.77	34.05	7,724.61	4,080.25	4,638.56
Previous Year	11,287.25	1,249.26	638.05	11,898.45	6,783.87	476.02	-	7,259.90	4,638.56	4,503.37

RATHI BARS LIMITED

Note (4)
Non-Current Assets - Financial Assets - Investments

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Investment | | |
| Trade, Quoted: | | |
| Equity shares | 7.66 | 7.66 |
| Non Trade, Unquoted: | | |
| Govt. Securities | | |
| National Saving Certificates | 0.06 | 0.06 |
| | 7.72 | 7.72 |

Note (5)
Non Current Assets - Other non-current assets - Investment in Gold / Silver

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Other non-current assets | | |
| Investment in Gold / Silver | 14.68 | 14.68 |
| | 14.68 | 14.68 |

Note (6)
Current Assets - Inventories

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Inventories | | |
| Finished goods | 79.98 | 351.64 |
| Raw material | 42.68 | 208.00 |
| Stores & spares | 94.90 | 594.96 |
| Scrap | 0.92 | 132.41 |
| | 218.48 | 1,287.01 |

Note (7)
Current assets - Financial Assets - Trade receivables

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Trade receivables (Unsecured) | | |
| Undisputed Trade Receivables - Considered Good | | |
| Less than 6 Months | 7,396.24 | 9,708.94 |
| 6 Months - 1 Year | 2,059.76 | 35.87 |
| 1-2 Years | | |
| 2 - 3 Years | | |
| More Than 3 Years | 9,456.00 | 9,744.81 |
| Less: Provision for doubtful debts | 748.10 | - |
| | 8,707.90 | 9,744.81 |

14ASAR & CO. LIMITED
84629N
440000000000000000000000000000000000000000000000000000000000000

RATHI BARS LIMITED

Note (8)
Current assets - Financial Assets - Cash and cash equivalents

| Particulars | | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- | --- |
| Cash and cash equivalents | | | |
| a | Cash in hand | 1.62 | 3.26 |
| b | Balances with scheduled banks in current accounts | | |
| | in current account | - | 0.33 |
| | Unclaimed share application money | | |
| c | Others (Fixed Deposit -Margin Money for LC) | 1.18 | 21.18 |
| | | 2.80 | 24.77 |

Note (9)
Current assets - Financial Assets - Loans and advances

| Particulars | | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- | --- |
| Loans and advances (Unsecured and considered good unless stated otherwise). | | | |
| a | Advance recoverable in cash or in kind | 11,793.17 | 7,766.72 |
| b | Balance with excise and other statutory authorities | | |
| | Advance Tax & TDS | 51.05 | 125.56 |
| | Excise Duty Recoverable | 191.96 | 191.96 |
| | Service Tax credit receivable | - | 1.26 |
| | MAT Credit Entitlement | - | 35.93 |
| | VAT Credit Receivable | 49.76 | 49.76 |
| | GST Credit Receivable | 11.14 | 114.82 |
| c | Security deposits | 275.63 | 275.63 |
| | | 12,372.71 | 8,561.64 |

Note (10)
Current assets - Financial Assets - Other Current Assets

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Other Current Assets | | |
| Prepaid expenses | 0.86 | 0.39 |
| | 0.86 | 0.39 |

RATHI BARS LIMITED

Note (11)

Equity - Equity Share Capital

| Particulars | | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- | --- |
| (a) | Authorised Share Capital | | |
| | 1,80,00,000 Equity Shares of Rs 10 each | 1,800.00 | 1,800.00 |
| | (Previous Year: 1,80,00,000 Equity Shares of Rs10 each) | | |
| (b) | Issued, Subscribed & Paid-up | | |
| | 1,63,30,357 Equity Shares (Previous Year: 1,63,30,357 Equity Shares) of Rs 10 each Called-up and Fully Paid-up. | 1,633.04 | 1,633.04 |
| | | 1,633.04 | 1,633.04 |

Terms / rights attached to equity shares

The Company has only one class of equity shares having par value of Rs.10 per share. Each holder of the equity share is entitled to one vote per share.

Details of shares held by shareholders holding more than 5% of the aggregate shares in the Company

Particulars	Percentage of Share Holding As at 31 March, 2026	No.of Shares As at 31 March, 2026	Percentage of Share Holding As at 31 March, 2025	No.of Shares As at 31 March, 2025
Equity shares
Sh. Anurag Rathi	7.45%	1,216,751	7.45%	1,216,751
Smt. Parnika Rathi	6.05%	988,109	6.05%	988,109
Sh. Uddhav rathi	5.26%	859,330	5.26%	859,330
Smt. Pushpa Rathi	9.72%	1,586,906	9.72%	1,586,906
		4,651,096		4,651,096

Detail of Promoter Share Holding

S.No	Promoter Name	No.of Shares As at 31 March, 2026	Percentage of Share Holding As at 31 March, 2026	% Change During the Year
1	ANURAG RATHI	1,216,751	7.45%	-
2	ANURAG RATHI HUF	507,500	3.11%	-
3	PUSHPA RATHI	1,586,006	9.72%	-
4	PARNIKA RATHI	988,109	6.05%	-
5	NANDITA RATHI	77,269	0.47%	-
6	UDDHAV RATHI	859,330	5.26%	-
7	ADVIKA RATHI	16,773	0.10%	-
8	DEVANSHI RATHI	16,772	0.10%	-
9	BHUWINESHWARI LEASING AND FINANCE PVT LTD	275,825	1.60%	-
10	UDDHAV INVESTMENTS PRIVATE LIMITED	216,125	1.32%	-
11	UDDHAV LEASING AND FINANCE PRIVATE LIMITED	277,375	1.70%	-
12	RATHI BREWERIES PRIVATE LIMITED	432,445	2.65%	-
13	AMRIT KRISHI FARMS PRIVATE LIMITED	463,250	2.84%	-
14	SARVESHWAR CEREALS PRIVATE LIMITED	657,825	4.03%	-
15	VASUDEV EXPORTS PRIVATE LIMITED	510,475	3.13%	-
16	RATHI OVERSEAS PRIVATE LIMITED	656,250	4.02%	-
17	PRANIKA LEASING AND FINANCE PRIVATE LIMITED	264,250	1.62%	-
18	PARNIKA INVESTMENTS PRIVATE LIMITED	669,375	4.10%	-
19	MARYADA HOLDINGS PRIVATE LIMITED	171,675	1.05%	-
20	ELEVENTH HOUR LEASING AND FINANCE PVT LIMITED	371,875	2.28%	-
21	PUSHPKAMAL ENTERPRISES PRIVATE LIMITED	217,157	1.33%	-

RATHI BARS LIMITED

Note (12)

Equity - Other Equity

| Particulars | | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- | --- |
| Other Equity | | | |
| a | Profit & loss account | | |
| | Opening Balance | 6,230.25 | 5,973.69 |
| | Add- Surplus as per Profit & loss A/C | (1152.26) | 256.56 |
| | | 5,077.99 | 6,230.25 |
| | Add- MAT Credit | - | - |
| b | Securities Premium Account | 1,785.71 | 1,785.71 |
| | | 6,863.70 | 8,015.96 |

Note (13)

Non Current Liabilities - Financial Liabilities - Borrowings

| Particulars | | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- | --- |
| Borrowings | | | |
| a | Term Loan | | |
| | HDFC Bank Ltd., New Delhi.(Against Equitable Mortgage of land & Building, Exclusive Charge on Plant & Machineries & guaranteed by Executive Directors) | 249.37 | 468.52 |
| b | Automobile Loans (Secured by Hypothecation of relevant Vehicle) | | |
| | HDFC Bank | 45.39 | 78.80 |
| | BMW India Financial Services Pvt. Ltd. | - | - |
| | Toyota Financial Services Ltd | - | 67.51 |
| | Mercedes Benz Financial Services | 105.55 | 122.13 |
| | | 400.31 | 736.96 |

RATHI BARS LIMITED

Note (14)
Non Current Liabilities - Provisions

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Provisions | | |
| Provision for Leave Encashment | 20.89 | 21.47 |
| Provision for Gratuity | 33.63 | 27.44 |
| | 54.52 | 48.91 |

Note (15)
Current Liabilities - Financial Liabilities - Borrowings

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Borrowings | | |
| a Working Capital Limits | | |
| HDFC Bank Ltd. | - | 6,057.71 |
| (Secured by hypothecation of stock & Book debts and Guaranteed by Executive Directors) | | |
| Yes Bank Ltd. | 1,968.06 | 992.66 |
| (Secured by hypothecation of stock & Book debts and Guaranteed by Executive Directors) | | |
| Axis Bank Ltd. | 6,008.48 | - |
| (Secured by hypothecation of stock & Book debts and Guaranteed by Executive Directors) | | |
| b Term Loan | | |
| i HDFC Bank Ltd., New Delhi.(Against Equitable Mortgage of land & Building, Exclusive Charge on Plant & Machineries & guaranteed by Executive Directors) | 157.50 | 344.69 |
| c Automobile Loans (Secured by Hypothecation of relevant Vehicle) | | |
| HDFC Bank (Auto Loan) | 33.41 | 30.76 |
| Daimler Financial Services India Pvt. Ltd. | - | - |
| BMW India Financial Services Pvt. Ltd. | - | - |
| Toyota Financial Services Ltd | - | 20.30 |
| Mercedes Benz Financial Services | 16.58 | 15.14 |
| | 8,184.03 | 7,461.26 |

Note (16)
Current Liabilities - Financial Liabilities - Trade payables

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Trade payables | | |
| a Due to Micro and Small Enterprises (See Notes on Accounts-, Note-2, item 3b (i)) | | |
| Less than 1 Year | - | 3.22 |
| 1-2 Years | | |
| 2 - 3 Years | | |
| More Than 3 Years | | |
| b Due to Others | | |
| 1 Year | 1,160.63 | 755.43 |
| 2 Years | | |
| 3 Years | | |
| | 1,160.63 | 758.65 |

RATHI BARS LIMITED

Note (17)
Current Liabilities - Other current liabilities

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Other current liabilities | | |
| Advance received from customers | - | 19.45 |
| Statutory dues (including provident fund and tax deducted at source) | 2.65 | 79.11 |
| Other payables (including employee dues & Dues with in one year) | 287.32 | 287.10 |
| Treds Payable | 6,421.35 | 4,769.02 |
| | 6,711.32 | 5,154.68 |

Note (18)
Current Liabilities - Provisions

| Particulars | As at 31 March,2026
(Rs in Lacs) | As at 31 March,2025
(Rs in Lacs) |
| --- | --- | --- |
| Provisions | | |
| Provision for Leave Encashment | 4.42 | 4.41 |
| Provision for Gratuity | 5.78 | 4.67 |
| | 10.20 | 9.08 |

Note (19)
Revenue - Revenue from operations

| Particulars | Year
2025-26
(Rs in Lacs) | Year
2024-25
(Rs in Lacs) |
| --- | --- | --- |
| Revenue from operations (Including excise duty) | | |
| Sale of Steel Bars | 32,265.67 | 44,956.13 |
| Sale of Billets / Casting | 3,222.80 | 3,974.74 |
| Other operating revenues | 1,371.43 | 697.95 |
| | 36,859.90 | 49,628.82 |

Note (20)
Revenue - Other Income

| Particulars | Year
2025-26
(Rs in Lacs) | Year
2024-25
(Rs in Lacs) |
| --- | --- | --- |
| Other Income | | |
| Interest received on deposits | 0.05 | 11.82 |
| Miscellaneous Receipts | 131.56 | 129.95 |
| | 131.61 | 141.77 |

RATHI BARS LIMITED

Note (21)
Expenses - Cost of materials consumed

Particulars	Year	Year
		2025-26	2024-25
		(Rs in Lacs)	(Rs in Lacs)
Cost of materials consumed
a	Ingots / Billets
	Opening stock	208.00	131.43
	Add: Purchases	13,741.17	29,892.41
	Less: Closing stock	42.68	208.00
	Material Consumed	13,906.49	29,815.84

Note (22)
Expenses - Changes in inventories of finished goods, Work-in-progress and Stock-in-Trade

Particulars	Year	Year
		2025-26	2024-25
		(Rs in Lacs)	(Rs in Lacs)
Changes in inventories
a	OPENING STOCK
	Finished goods	351.64	816.58
	Scrap	132.41	28.44
	(I)	484.05	845.02
b	CLOSING STOCK
	Finished goods	79.98	351.64
	Scrap	0.92	132.41
	(II)	80.90	484.05
c	(Increase) / Decrease in stocks	(I - II)	403.15

Note (23)
Expenses - Employee benefits expense

Particulars	Year	Year
		2025-26	2024-25
		(Rs in Lacs)	(Rs in Lacs)
Employee benefits expense
a	contribution to provident fund and other funds	0.93	6.95
b	Employees welfare	37.04	38.62
c	Production contract Expenses	148.74	185.95
d	Salaries, wages, bonus & other allowances	233.09	288.23
		419.80	519.75

NISSAR & CO. FRN/11829N

RATHI BARS LIMITED

Note (24)
Expenses - Finance costs

Particulars	Year	Year
	2025-26	2024-25
	(Rs in Lacs)	(Rs in Lacs)
Finance costs
Interest on:
Cash Credit	506.39	482.21
Term Loan	62.84	129.45
Others	-	-
Bank Charges	40.17	38.32
	609.40	649.98

Note (25)
Expenses - Other expenses

Particulars	Year	Year
	2025-26	2024-25
	(Rs in Lacs)	(Rs in Lacs)

Other expenses

Administrative charges	0.15	0.20
Advertisement & Selling Expenses	0.65	0.80
Auditor's fees	4.00	2.50
Corporate Social responsibility	7.49	5.14
Directors salary	39.60	39.60
Directors Sitting Fees	0.35	1.31
Freight & cartage	-	14.01
General expenses	25.34	9.28
Generator Running Expenses	-	0.09
Insurance	0.91	11.61
Investment Written Off	-	-
Legal & professional charges	38.00	65.23
Listing Expenses	0.61	0.53
Miscellaneous Balance Written off	95.80
Postage expenses	0.25	0.39
Power and Fuel	465.68	661.01
Printing & stationery	1.38	1.63
Provision for Bad Debts	748.10
Rates, taxes & fees	13.48	13.97
Rent	48.00	28.00
Repair and Maintenance:
Plant & Machinery	28.40	14.06
Buildings	9.02	7.00
Others	7.19	8.64
Security service charges	8.49	6.17
Stores and Spares Consumed	531.65	95.16
Telephone expenses	0.40	0.64
Travelling & conveyance	17.06	29.58
Treds Charges	463.09	406.34
Vehicles repair & maintenance	1.16	9.07

MASSAR & CO.

Statement on Impact of Audit Qualifications (For Audit Report with Modified Opinion) Submitted Along with Annual Audited Financial Results

| Statement on Impact of Audit Qualifications for Financial Year ended March 31, 2026
(See regulation 33 of the SEBI (LODR) Regulations, 2015) | | | | |
| --- | --- | --- | --- | --- |
| I. | Sl. No. | Particulars | Audited Figures
(as reported
before adjusting
for
qualifications)
(in Lakhs) | Adjusted Figures
(audited figures
after adjusting for
qualifications)
(in Lakhs) |
| | 1. | Turnover / Total Income | 36,991.51 | 36,991.51 |
| | 2. | Total Expenditure | 38,217.16 | 38,217.16 |
| | 3. | Net Profit / (Loss) | (1,152.26) | (1,152.26) |
| | 4. | Earnings Per Share | (7.06) | (7.06) |
| | 5. | Total Assets | 25,405.40 | 25,405.40 |
| | 6. | Total Liabilities | 25,405.40 | 25,405.40 |
| | 7. | Net Worth | 8,496.74 | 8,496.74 |
| | 8. | Any other financial item(s) | | |
| II | Audit Qualification (each audit qualification separately) | | | |
| | a) Details of Audit Qualification: As per Annexure-A | | | |
| | b) Type of Audit Qualification: Qualified Opinion / Disclaimer of Opinion / Adverse Opinion: Qualified Opinion | | | |
| | c) Frequency of qualification: Whether appeared first time / repetitive / since how long continuing: Annexure-A | | | |
| | d) For Audit Qualification(s) where the impact is quantified by the auditor, Management's Views: Annexure-A | | | |
| | e) For Audit Qualification(s) where the impact is not quantified by the auditor: | | | |
| | i. Management's estimation on the impact of audit qualification: Annexure-A | | | |
| | ii. If management is unable to estimate the impact, reasons for the same: Annexure-A | | | |
| | iii. Auditors' Comments on (i) or (ii) above: Not applicable | | | |
| III | Signatories | | | |
| | CEO / Managing Director
Ommrty Lathi
Uddalw Rathi | | | |
| | Audit Committee Chairman
Sonal | | | |
| | Statutory Auditor
CC | | | |
| | Place: New Delhi | | | |
| | Date: 28-05-2026 | | | |

MASAR & CO.
FRN 243829N

A-2477
M.C.I.E.
MATHEIRA
ROAD
NEW DELHI

Annexure-A (Standalone)

Sr. No	Auditor Qualification	Type of Audit Qualification	Frequency of Audit Qualification	Management's view where impact of Audit Qualification is quantified by the Auditor	Impact not qualified by Auditor, Management's estimation on the impact of audit qualification	If Management is unable to estimate the impact, reason for the same (II)	Auditor's Comment on (I) and (II)
1	As referred in Note No. 15, the Company has Cash Credit facilities from Axis Bank (A/c No. 925030016161118) and Yes Bank (A/c No. 524LA41252510001) having outstanding balances of ₹60.08 crore and ₹19.68 crore, respectively, as at the balance sheet date. The first default in repayment/servicing of dues in respect of the Axis Bank account occurred on 5 March 2026 and in respect of the Yes Bank account on 31 March 2026, and both the accounts were inoperative as at the reporting date. Further, no balance confirmations or status confirmations of the said accounts have been received from the respective banks up to the date of this report.	Qualified Opinion	First Time	Not quantified by Auditor	Not quantified by Management	The qualification is in the nature of information.	N.A
2	As referred in Note No. 13(a) and 13(b) to the financial statements, the Company has term loan of HDFC Bank (A/c No. 003LN65222180001) having an outstanding balance of ₹4.07 Crore as at the Balance Sheet date. However, the company has not paid principal and interest	Qualified Opinion	First Time	Not quantified by Auditor	Not quantified by Management	The qualification is in the nature of information.	N.A

VESAR & CO.
Finished Aadhar
0000000000000000000000000000000000000000000000000000000000000000000000

	dues in respect of term loan since January 2026. Further, no balance confirmations and status of accounts have been received from the respective banks as at the date of this report.
3	The Company has availed invoice discounting facilities through the TReDS platform against its trade payables. As at the reporting date, an amount of ₹64.21 Crore remains outstanding towards the TReDS financier, which has not been repaid by the Company and is presently under litigation.	Qualified Opinion	First Time	Not quantified by Auditor	Not quantified by Management	The qualification is in the nature of information.	N.A
4	As stated in the Board minutes of Board Meeting dated 10th April 2026, the Board has noted, approved and ratified the temporary suspension of manufacturing operations of the Company due to, inter alia, income-tax search proceedings commenced on 15 December 2025, invocation of GRAP Stage IV restrictions in NCR by CAQM, suo-moto amendment of Consent to Operate (CTO) by RSPCB dated 16 January 2026 and significant increase (25%) in power tariffs by Jaipur Vidyut Vitran Nigam Limited (JVVNL). These events indicate existence of uncertainty which may cast doubt on the Company's ability to continue as a going concern.	Qualified Opinion	First Time	Not quantified by Auditor	Not quantified by Management	The qualification is in the nature of information.	N.A
5	Preferred in Note No. 7 to the financial statements, the Company's sundry debtors are carried in the Balance Sheet at ₹94.56	Qualified Opinion	First Time	Not quantified by Auditor	Not quantified by Management	The qualification is in the nature of information.	N.A

Vellaw Rathi

	crore as at the reporting date. During the course of external balance confirmation procedures, balances aggregating to approximately ₹30 crore were disputed/disagreed by the respective parties. In view of such uncertainties regarding recoverability, the Management has created a provision for bad and doubtful debts amounting to 25% of the disputed/disagreed trade receivables balance.
6	The Company Secretary resigned from the office with effect from 22 March 2026, and the position of Company Secretary remained vacant as on the date of this Report. Consequently, the Financial Statements do not bear the signature of the Company Secretary as required under Section 134 of the Companies Act, 2013.	Qualified Opinion	First Time	Not quantified by Auditor	Not quantified by Management	The qualification is in the nature of information.	N.A

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RATHI BARS LIMITED — Audit Report / Information 2026

61715_rns_2026-05-28_d0eb88e4-e3f2-42f9-bb2f-2653452760c1.pdf

10. Way Forward for Revival and Re-Commencement of Operations

11. Status of Engagement of Advisors

12. Discussion with Bankers and Lenders

13. Pending Debt and Interest Servicing Obligations

14. Interim Arrangement for Fixed Expenses

15. Any Other Business:

INDEPENDENT AUDITOR'S REPORT

TO THE MEMBERS OF RATHI BARS LIMITED

Report on the Audit of the Standalone Financial Statements

Qualified Opinion

Basis for Qualified Opinion

Key Audit Matters

Other Matters

Information Other than the Financial Statements and Auditor's Report Thereon

Responsibilities of Management and Board of Directors for the Standalone Financial Statements

Auditor's Responsibilities for the Audit of the Standalone Financial Statements

Report on Other Legal and Regulatory Requirements

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

Managements and Board of Directors’ Responsibilities for Internal Financial Controls

Auditor’s Responsibility

Meaning of Internal Financial Controls with reference to Standalone Financial Statements

Inherent Limitations of Internal Financial Controls with reference to Standalone Financial Statements

Opinion

ANNEXURE 'B' TO THE INDEPENDENT AUDITOR'S REPORT

RATHI BARS LIMITED

Statement of Changes in Equity for the year ended 31st March 2026

A. EQUITY SHARE CAPITAL

B. OTHER EQUITY

NOTE-1

General Information

NOTE-2

BASIS OF PREPARATION, MEASUREMENT AND SIGNIFICANT ACCOUNTING POLICIES

1. Basis of Preparation, Measurement:

STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES:

a. Basis of Accounting:

b. Revenue Recognition:

c. Property, Plant & Equipment:

d. Capital work-in-progress:

e. Intangible Assets:

f. Depreciation:

g. Financial Assets & Financial Liabilities:

h. Inventories:

i. Provisions:

j. Cash and Cash Equivalents:

k. Retirement and other Employee Benefits:

i) Defined Contribution Plan

ii) Defined Benefit Plan

l. Taxation:

m. Contingent Liabilities:

2. Notes on Accounts:

b. Current Liabilities & Provisions:

c. Payment to Auditors in respect of:

d. Expenditure in Foreign Currency:

e. Related Party disclosure, as required in IND AS 24:

List of Related Parties and relationship:

1. Key Managerial Person:

f. Earning Per Share (EPS):

g. Break-up of deferred Tax Liabilities is given as under:

h. Contingent liabilities not provided for:

i. The figures of previous year have been re-arranged/re-grouped wherever felt necessary.

RATHI BARS LIMITED

K. RATIOS

RATHI BARS LIMITED

L. Other Statutory Information:

3. QUANTITATIVE INFORMATION :

A. PRODUCTION & PURCHASE

B. STOCKS

C. DESPATCH

RATHI BARS LIMITED

D. CONSUMPTION

RATHI BARS LIMITED

RATHI BARS LIMITED

RATHI BARS LIMITED

RATHI BARS LIMITED

RATHI BARS LIMITED

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