Carysil Limited has filed the Monitoring Agency (MA) report prepared by ICRA Limited with the stock exchanges for the quarter ended March 31, 2026, in compliance with Regulation 32(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The report pertains to the utilisation of funds raised through the company's Qualified Institutions Placement (QIP) and was submitted on May 11, 2026. ICRA Limited was appointed as the Monitoring Agency pursuant to an agreement dated July 01, 2024.

Issue Details

The QIP was open from July 01, 2024, to July 03, 2024, involving the issuance of equity shares with a total issue size of INR 125.00 crore. The net proceeds, after deducting issue-related expenses (IRE) of INR 3.30 crore as per the prospectus, were initially stated at INR 121.70 crore. These net proceeds were subsequently revised to INR 121.65 crore owing to issue-related expenses being higher by INR 0.05 crore as on December 31, 2025.

Fund Utilisation Progress

ICRA confirmed that the utilisation of issuance proceeds is in line with the objects of the issue, with no material deviation observed. The report also noted that the means of finance for the disclosed objects has not changed, all government and statutory approvals have been obtained, and no major deviation was observed over earlier monitoring agency reports. The following table summarises the progress in utilisation of QIP proceeds as at March 31, 2026.

Cost of Objects

The original and revised costs for each object of the issue are detailed below. The revision in the general corporate purpose allocation is attributable to the increase in issue-related expenses by INR 0.05 crore.

Deployment of Unutilised Proceeds

The unutilised balance of INR 33.79 crore has been deployed across 13 fixed deposits with HDFC Bank and a balance in the cash credit account with Citi Bank. All fixed deposits carry a return on investment of 6.25% or 6.35% per annum, with maturity dates ranging from August 24, 2026, to February 25, 2027. The total market value of deployed unutilised proceeds as at the end of the quarter stood at INR 34.99 crore, inclusive of earnings of INR 1.20 crore. The cash credit account with Citi Bank held an unutilised balance of INR 1.29 crore as on March 31, 2026, reflecting total available funds of INR 6.63 crore (comprising an opening balance of INR 1.63 crore and INR 5.00 crore transferred upon closure of a fixed deposit), of which INR 5.34 crore was utilised up to March 31, 2026.

General Corporate Purpose Utilisation

The total general corporate purpose amount of INR 27.90 crore has been fully utilised across the following heads:

Timeline Extension for Capital Expenditure

ICRA noted that the Board of Directors of Carysil Limited, at their meeting No. 07/2025-26 held on March 20, 2026, passed a resolution approving the extension of the timeline for utilisation of QIP proceeds earmarked for capital expenditure from March 31, 2026, to March 31, 2027. Accordingly, the remaining INR 33.79 crore is expected to be utilised by the fiscal year ended March 31, 2027. The working capital requirements and general corporate purposes allocations were completed on schedule. The report was prepared by Parul Goyal Narang, Vice President & Head – Process Excellence at ICRA Limited, and submitted to Reena Shah, Company Secretary and Compliance Officer of Carysil Limited.

Carysil has announced a comprehensive capacity expansion initiative backed by a planned capital expenditure of ₹300 crore over the next 3-5 years. The expansion spans multiple product categories at the company's Bhavnagar manufacturing facility, targeting significant growth in quartz sinks, stainless steel sinks, kitchen appliances, and faucets.

Capacity Expansion Plans

The expansion strategy is segmented across four key product lines, each with specific capacity targets and committed capital investments:

Financial Performance and Growth Trajectory

Carysil has demonstrated consistent growth over three decades, with revenue expanding from ₹6 crore in FY1996 to a projected ₹816 crore in FY2025. The company's EBITDA margin has remained resilient, maintaining levels between 12% and 19% across different fiscal years. The growth trajectory shows decade-wise compounding with 2x growth from FY1996 to FY2005, 10x growth from FY2005 to FY2015, and 6.5x growth projected from FY2015 to FY2025.

Strategic Vision and Roadmap

The company has outlined a phased roadmap to achieve $1 billion valuation within 12-15 years, targeting $250 million in the next 3-5 years and $500 million in 8-10 years. This vision is supported by six strategic pillars under Carysil 2.0: Trust-First Brand, One-Stop Category Platform, Margin Expansion through Technology-Led Scale, Profitable Channel Expansion, Premium & Private Label Mix, and High-Performance Culture.

Global Presence and Market Position

Carysil positions itself as Asia's #1 granite sink manufacturer with German technology, boasting 35+ years of excellence. The company exports to 55+ countries through a network of 4,500+ dealers and 100+ distributors globally, with a workforce of 2,000+ employees worldwide. The company's product innovation includes advanced kitchen appliances such as Magna 90 Chimney, PlasmaHood Chimney, Koln Induction Hob, and CX Trizone 3-in-1 Hob, along with premium faucet offerings including RO Water Faucet and Magic 6-in-1 Faucet.