Carraro India Limited has scheduled its 29th Annual General Meeting (AGM) for Thursday, September 10, 2026, at 11:30 am via Video Conferencing/Other Audio-Visual Means (VC/OAVM). The Board of Directors, in a meeting on August 6, 2026, approved the convening of the meeting to transact ordinary and special business, including the adoption of financial statements for FY26 and the declaration of a final dividend.

Financial Highlights and Dividend

The Board recommends a final dividend of ₹6.75 per equity share of face value ₹10 each, representing a payout of 67.50% for the financial year ended March 31, 2026. This recommendation is subject to shareholder approval at the AGM. The record date for determining dividend entitlement is set for September 3, 2026.

For FY26, the company reported consolidated revenue from operations of ₹22,555 million, a 25% increase from ₹18,076 million in FY25. Profit After Tax (PAT) rose 48% to ₹1,306 million, up from ₹881 million in the previous year. EBITDA grew 33% to ₹2,475 million, with margins expanding to 10.8% from 10.2%.

Auditor Appointment and Changes

The AGM will consider the appointment of M/s. MSKC & Associates LLP as the statutory auditors for a term of five consecutive years, succeeding M/s. Deloitte Haskins & Sells LLP, which completes its second term at this meeting. The proposed remuneration for the new auditors is ₹4.98 million plus applicable taxes and out-of-pocket expenses for FY27, compared to ₹9.73 million paid to the outgoing auditors for FY26.

Additionally, shareholders will ratify the remuneration of ₹3,40,000 payable to M/s. Adawadkar Deshmukh & Associates as Cost Auditors for FY27.

Related Party Transactions

A key special business item involves a material modification to the existing related-party transaction (RPT) limits with Carraro Drive Tech Italia S.p.A. (CDTI), a fellow subsidiary within the Carraro Group. The company seeks approval to increase the aggregate transaction limit for FY27 to ₹10,300 million, up from the previously approved ₹10,129.49 million.

This modification primarily reflects an anticipated increase in the procurement of raw material components and allied goods from CDTI due to new projects in the pipeline. During FY26, total transactions with CDTI aggregated to ₹8,015.04 million. The proposed limit constitutes 45.67% of the company’s annual consolidated turnover for FY26.

Director Re-appointments

Two directors retire by rotation and offer themselves for re-appointment:

• Mr. Davide Grossi: Whole-Time Director and Chief Financial Officer.
• Mr. Andrea Conchetto: Non-Executive Director.

Both directors have confirmed their eligibility and willingness to serve further terms if approved by the shareholders.

E-Voting Details

Remote e-voting will be open from September 7, 2026, at 9:00 am to September 9, 2026, at 5:00 pm. Members holding shares as of the cut-off date, September 3, 2026, are eligible to vote electronically through the National Securities Depository Limited (NSDL) platform.

Carraro India Limited reported resilient financial performance for the first quarter of FY27, navigating a mixed operating environment characterized by robust domestic demand and temporary export headwinds. Revenue from operations increased 10% year-on-year to INR5,447 million, while profit after tax (PAT) rose 8% to INR314 million. The company maintained its long-term growth trajectory despite global geopolitical uncertainties affecting certain international markets.

Financial Highlights

Total income grew by 12% year-on-year to INR5,587 million. This figure included a one-time provision write-back of INR88 million related to customs reassessment proceedings. Excluding this non-operational item, the core revenue growth reflects steady business execution.

*Figures derived from disclosed growth percentages.

Segment and Geographic Performance

Domestic markets drove the top-line growth, with domestic revenues increasing approximately 26% year-on-year to INR3,795 million, contributing around 70% of total revenue. This surge was fueled by strong demand in the agriculture segment, particularly for four-wheel drive axle solutions, and sustained momentum in construction equipment platforms.

Conversely, export revenues declined by approximately 14% year-on-year to INR1,652 million, accounting for roughly 30% of total sales. Management attributed this dip to logistical challenges and softer demand in specific export regions due to ongoing geopolitical tensions in West Asia.

Sector Breakdown

• Agricultural Vehicles: Revenue increased 15% year-on-year to INR2,559 million. Domestic agricultural revenue alone grew by 32% compared to the prior year quarter.
• Construction Vehicles: Revenue rose 4% year-on-year to INR2,264 million. Carraro’s sales of drivelines to Indian original equipment manufacturers (OEMs) grew 18%, outperforming the broader backhoe loader market growth of 14%.

What the Numbers Show

The divergence between domestic and export performance highlights the company's shifting revenue mix. With domestic revenue now constituting 70% of the total, Carraro India is increasingly reliant on the Indian off-highway market. While this provides stability against global volatility, it also exposes the company to domestic supply chain constraints. The CFO noted that raw material localization stood at approximately 74% during the quarter, a slight dip from previous levels due to inflationary pressures and local supplier shortages, necessitating temporary imports to maintain production continuity.

Operational Updates and Outlook

Management highlighted several strategic initiatives underway:

• Capacity Expansion: Construction of a new paint shop facility commenced, alongside investments in portal axle capacity and sub-assembly operations.
• New Programs: Serial production for a Turkish customer in the higher horsepower transmission segment began during the quarter. Development activities for an Indian customer program are on track, with production targeted for FY28.
• Engineering Services: The Montra electric project assignments worth approximately INR33 million were completed in July 2026. Discussions with another prospective customer are progressing.

Regarding margins, management indicated that higher energy costs, raw material price fluctuations, and labor availability constraints impacted the EBITDA margin to 10.4%. However, they emphasized that commodity cost increases are fully insulated through pass-through mechanisms, albeit with a time lag. The company expects to recover these incremental costs over the financial year, aiming for a "zero-sum" impact on profitability.

Looking ahead, management remains constructive on the outlook, citing healthy domestic demand and improving supply chain conditions. The company reaffirmed its aspiration to achieve revenue between INR3,500 crore and INR4,000 crore by FY30.