SG MART Q2 CONCALL : MANAGEMENT REAFFIRMS ₹300 CR FY27 EBITDA GUIDANCE, TARGETS 50%+ EARNINGS CAGR & EBITDA MARGIN EXPANSION TO 6–7%

• MANAGEMENT REAFFIRMS FY27 EBITDA GUIDANCE OF APPROXIMATELY ₹300 CR, WITH ₹169 CR REQUIRED IN H2 FY27 TO ACHIEVE THE TARGET • MANAGEMENT EXPECTS H2 FY27 QUARTERLY EBITDA OF APPROXIMATELY ₹80–85 CR, SUPPORTED BY HIGHER SERVICE CENTRE VOLUMES & MANUFACTURING GROWTH • MANAGEMENT TARGETS 50%+ EARNINGS CAGR OVER THE NEXT 3–4 YEARS, DRIVEN BY CAPACITY EXPANSION, BACKWARD INTEGRATION & IMPROVED PRODUCT MIX • MANAGEMENT EXPECTS BLENDED EBITDA MARGIN TO IMPROVE TO 6–7% FROM CURRENT 4–5%, WITH APPROXIMATELY 200 BPS POTENTIAL EXPANSION • MANAGEMENT PLANS TO ADD 5–6 SERVICE CENTRES ANNUALLY, WITH POTENTIAL TO REACH 30–35 CENTRES BY FY30 AGAINST EARLIER TARGET OF OVER 25 • MANAGEMENT TARGETS SUSTAINABLE RETURN ON CAPITAL OF APPROXIMATELY 25%, WITH POTENTIAL TO EXCEED 30% AT FULL CAPACITY UTILISATION • Q2 EBITDA STOOD AT ₹72 CR, WHILE H1 FY27 EBITDA REACHED ₹131 CR, WITH MANAGEMENT INDICATING APPROXIMATELY 100% YOY H1 EARNINGS GROWTH • COMPANY CURRENTLY OPERATES EIGHT FULLY FUNCTIONAL SERVICE CENTRES, WITH ANOTHER 2–3 CENTRES EXPECTED TO BECOME OPERATIONAL AROUND APRIL–MAY 2027 • HR COIL PROCESSING VOLUMES GREW 16% QOQ TO APPROXIMATELY 2.06 LAKH TONNES, WHILE PURE SERVICE CENTRE SALES VOLUMES INCREASED 30% YOY • STEEL PROFILE MANUFACTURING VOLUMES GREW 20% QOQ TO APPROXIMATELY 40,000 TONNES, AGAINST EXISTING ANNUAL CAPACITY OF 5 LAKH TONNES • SOLAR STRUCTURES BUSINESS HAS AN ORDER BOOK EXCEEDING 50,000 TONNES, PROVIDING APPROXIMATELY ONE YEAR OF VISIBILITY AT CURRENT OPERATING VOLUMES • RAIPUR COATED-STEEL BACKWARD INTEGRATION PROJECT IS EXPECTED TO SUPPORT COST SAVINGS, HIGHER-VALUE PRODUCTS & MARGIN IMPROVEMENT OVER THE NEXT 9–15 MONTHS • MANAGEMENT EXPECTS H2 FY27 CAPEX OF ₹250–300 CR, IMPLYING TOTAL FY27 CAPEX OF APPROXIMATELY ₹500–550 CR, WITH FURTHER INVESTMENT REQUIREMENTS OF ₹1,500 CR OVER 2–3 YEARS • COMPANY REPORTED APPROXIMATELY ₹700 CR CASH BALANCE, 18-DAY WORKING CAPITAL CYCLE & H1 OPERATING CASH FLOW EXCEEDING EBITDA; EXPANSION IS PLANNED THROUGH INTERNAL CASH GENERATION & CASH RESERVES • MANAGEMENT REMAINS CONFIDENT IN LONG-TERM GROWTH, BUT ACHIEVING FY27 EBITDA GUIDANCE, RAIPUR PROJECT EXECUTION, SERVICE CENTRE RAMP-UP, STEEL PRICE VOLATILITY & LARGE CAPEX REQUIREMENTS REMAIN KEY MONITORABLES

SG MART LIMITED

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