Rudra Green Ship Recycling Limited

A significant portion of revenue (52.46%, 51.25% and 58.59% in Fiscals 2026, 2025 and 2024) is derived from Rudra Global Infra Products Limited (RGIPL), a related party, and a limited number of customers (top 10 customers contributed 66.29%, 65.16% and 70.68%). Any reduction in, or loss of, business from RGIPL or key customers could have a material adverse effect on the business, financial condition, results of operations and cash flows.(Customer Concentration)

The permission to utilise the ship recycling plot (Plot No. 132/133M, Alang-Sosiya) expired on January 18, 2026, and has been extended only up to October 18, 2026. The renewal is yet to be granted, and there is no assurance that the Gujarat Maritime Board will renew the permission in a timely manner, for a sufficient tenure, on favourable terms or at all.(Regulatory / Operational)

All revenue from ship recycling and sale of materials recovered from end-of-life vessels (53.37%, 57.30% and 57.29% of revenue in Fiscals 2026, 2025 and 2024) was derived from this single plot. Any non-renewal, termination, suspension or adverse modification of the permission would result in the suspension of ship recycling operations and have a material adverse effect on the business.(Operational)

The company does not have any long-term agreements with its customers, and the continuation and volume of business depend on their ongoing requirements, prevailing market conditions, and prices offered. There is no assurance that existing customers will continue to purchase at historical levels or that the company will be able to retain customers on commercially viable terms.(Customer Concentration)

The company does not have any other ship recycling plot. Any disruption in the use of the Ship Recycling Yard or Backyard Premises, including due to expiry or non-renewal of applicable arrangements, changes in terms, regulatory restrictions, damage, or unavailability of premises, may delay or disrupt ship recycling activities.(Operational)

Transactions with RGIPL of the magnitude undertaken during the last three Fiscals are likely to constitute material related party transactions under SEBI Listing Regulations, requiring prior shareholder approval. Any failure to obtain such approvals in a timely manner, or at all, may require the company to reduce or discontinue transactions with RGIPL.(Regulatory)

The company does not have any long-term contractual commitments with customers, resulting in limited visibility over future business levels. Any change in customer requirements, procurement practices, financial condition, or market conditions may result in a reduction in orders or business volumes.(Customer Concentration)

The company cannot assure that it will be able to maintain historical levels of business from key customers, retain such customers, increase its customer base, or enter into long-term agreements on commercially viable terms. Any significant reduction in business from key customers or inability to develop alternative customer relationships may adversely affect the business.(Customer Concentration)