Climate Change Data

MAKS ENERGY SOLUTIONS INDIA LIMITED

Climate Impact & Sustainability Data (2020-03-31 to 2022-03-31)

Reporting Period: 2020-03-31 to 2022-03-31

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

  • Global pandemic of COVID-19 negatively impacted revenue.
  • Negative cash flows in the past and potential for future negative cash flows.
  • High working capital requirements.
  • Substantial investments in overseas Joint Venture with uncertain returns.
  • High debt equity ratio.
  • Need for approvals and licenses, potential for non-compliance.
  • Restrictive covenants under financing agreements.
  • Significant portion of revenue dependent on export sales.
  • Assembling unit on lease basis, potential for relocation.
  • Venturing into new lines of business with limited experience.
  • Risks from interest rate fluctuations.
  • Auditor's qualification on inventory records in 2020.
  • Lack of non-compete agreements with Group Companies.
  • Dependence on a few external suppliers for key raw materials.
  • Compliance with and changes in laws and regulations.
  • Adoption of stringent emission standards.
  • Dependence on Promoter's trademark.
  • Lack of trademark registration for company logo.
  • Instances of non-compliances in regulatory filings.
  • Dependence on key personnel.
  • Potential for product liability claims.
  • Demand for generator sets dependent on power outages and seasonality.
  • Limited disclosure from some Promoter Group members.
  • Inadequate insurance coverage.
  • Promoter group retaining majority control.
  • Inadequately stamped or unregistered agreements.
  • Related party transactions.
  • Information based on industry projections and assumptions.
  • Ability to respond to technological advances and changing preferences.
  • Potential harm from employee misconduct or errors.
  • Natural or man-made disasters.
  • Financial instability in other countries.
  • Changing laws, rules, and regulations.
  • Civil unrest, acts of violence.
  • Political instability and changes in government policy.
  • Regulatory, economic, and political uncertainties.
  • Resource strain from being a listed company.
  • Downgrading of India's debt rating.
  • Volatile trading volume and market price of Equity Shares.
  • Dilution of shareholding from future issuances or sales.
  • Issue price not indicative of future market price.
  • Indian taxes on capital gains.
  • Dependence on earnings for dividend payments.
  • Limited shareholder rights under Indian laws.
  • Fluctuation in exchange rates.
  • Potential lack of active trading market for Equity Shares.
Mitigation Strategies
  • Repayment/prepayment of loans using IPO proceeds.
  • Utilizing IPO proceeds for general corporate purposes.
  • Diversification of business activities.
  • Exit from non-viable Joint Venture.
  • Debt reduction strategies.
  • Obtaining necessary approvals and licenses.
  • Compliance with financing agreement covenants.
  • Exploring new markets and diversifying sales.
  • Lease renewal or alternative arrangements for assembling unit.
  • Risk management strategies for new business ventures.
  • Interest rate risk management strategies.
  • Improved inventory record-keeping.
  • Developing non-compete agreements.
  • Diversifying supplier base.
  • Compliance with laws and regulations.
  • Adapting to emission standards.
  • Trademark registration.
  • Trademark application for company logo.
  • Improved regulatory compliance procedures.
  • Employee retention strategies.
  • Product liability insurance.
  • Diversifying customer base and product offerings.
  • Improved internal controls.
  • Insurance coverage.
  • Corporate governance measures.
  • Legal compliance measures.
  • Transparency and disclosure.
  • Continuous monitoring and adaptation.
  • Technological innovation.
  • Internal control improvements.
  • Disaster preparedness plans.
  • Financial risk management.
  • Regulatory compliance.
  • Risk mitigation strategies.
  • Political risk management.
  • Economic risk management.
  • Financial planning and resource allocation.
  • Credit rating monitoring.
  • Investor relations.
  • Capital allocation strategies.
  • Tax planning.
  • Financial planning.
  • Investor communication.
  • Currency hedging strategies.
  • Market making arrangements.

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

  • One Star Export House Recognition