Pursuant to Regulation 34 of the SEBI Listing Regulations, 2015, we hereby enclose the 15th Annual Report of the Company.

Date: September 1, 2026 The Secretary, Listing Department Bombay Stock Exchange Ltd Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400 001, MH, IN. Sub: Annual report for the financial year 2025-26 Reference: Security ID: KARBON / Security Code: 544511 / ISIN: INE0V8A01016 Dear Sir/Madam, Pursuant to Regulation 34(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith the Annual Report of the Company for the Financial Year 2025-26 along with the Notice of 15th Annual General Meeting of the Company scheduled to be held on Wednesday, September 23, 2026 at 3:00 P.M. (IST) via Video Conference/Other Audio-Visual Means ('VC'/'OAVM'). The said Annual Report is also available on the Company's website : www.karbonsteel.com The said Notice is also available on the Company's website: www.karbonsteel.com We request you to kindly take the above on record. Thanking You. For Karbonsteel Engineering Limited Siddhi Parmar Company Secretary & Compliance Officer ACS 60563 Karbonsteel Engineering Limited ENGINEERING STRENGTH DELIVERING EXCELLENCE Building the foundations of tomorrow with precision and purpose. HEAVY STEEL FABRICATION STEEL BRIDGE STRUCTURES KARBONSTEEL ENGINEERING LIMITED HIGH RISE BUILDINGS Integrated Annual Report INDUSTRIAL & FY 2025–26 INFRASTRUCTURE SOLUTIONS TABLE Karbonsteel Engineering Limited O F C O N T E N T COMPANAY AT GLANCE 04 WHAT WE DO 06 MANAGEMENT’S MESSAGE 08 OUR JOURNEY 10 BUSINESS VERTICALS 12 FY26 PERFORMANCE HIGHLIGHTS 19 MANAGEMENT DISCUSSION & ANALYSIS 29 DIRECTOR’S REPORT 42 FINANCIAL STATEMENTS 66 NOTICE OF AGM 106 Karbonsteel Engineering Limited Karbonsteel Engineering Limited KARBONSTEEL Karbonsteel Engineering Limited ENGINEERING AT A GLANCE ABOUT KARBONSTEEL ENGINEERING Karbonsteel Engineering Limited is a leading structural engineering and fabrication company specializing in the design, manufacturing, and assembly of heavy and precision steel structures for industrial and infrastructure sectors across India. With an RDSO-approved facility, ISO-certified operations, and a rapidly expanding capacity, we deliver complex projects for steel plants, refineries, railways, metro systems, oil & gas facilities, and industrial infrastructure, including the Mumbai- Ahmedabad High-Speed Rail corridor. Backed by experienced leadership and strong customer relationships, Karbonsteel is committed to engineering excellence, timely delivery, and sustainable long-term growth. OUR VISION To be a preferred engineering and structural steel solutions partner, delivering world-class quality, innovation, and execution excellence for India’s infrastructure and industrial growth. OUR MISSION We aim: Deliver engineering excellence through precision manufacturing. Build lasting customer relationships through quality and timely execution. Create sustainable long-term value for shareholders, employees, and stakeholders. Continuously expand capabilities through technology, capacity, and operational excellence. OUR VALUES Engineering Customer Integrity Innovation Safety & Excellence Commitment Sustainability Continuously Maintaining the Delivering precision, Building long-term Operating with improving highest standards quality, and reliability partnerships through transparency, ethics, manufacturing of workplace safety in every project. trust and execution. and accountability. processes and and responsible engineering operations. capabilities Karbonsteel Engineering Limited Karbonsteel Engineering Limited Karbonsteel Engineering Limited BUILDING Karbonsteel Engineering Limited E N G I N E E R I N G E X C E L L E N C E FOR A NEW ERA OF INFRASTRUCTURE India stands at the cup of a transformative infrastructure cycle, supported by sustained investments in railways, urban development, industrial manufacturing, energy, and logistics. As the nation accelerates towards becoming a global manufacturing hub, the demand for precision-engineered steel structures is creating unprecedented opportunities for companies with strong execution capabilities and engineering expertise. At Karbonsteel Engineering, we believe that long-term success is built upon a foundation of high capacity, bold vision, and customer trust, and continuous investment in future-ready infrastructure. Over the years, we have formed from a regional fabrication company into a trusted engineering partner serving some of India’s leading industrial and infrastructure projects. Despite a year marked by temporary operational headwinds, including supply chain disruptions, inflationary pressures, and delays in our expansion schedule, the business continued to demonstrate resilience. We maintained strong capacity utilisation while executing complex projects across steel plants, refiners, industrial facilities, and the prestigious Mumbai–Ahmedabad High- Speed Rail corridor. These achievements reaffirm the strength of our engineering platform and our ability to deliver consistently under challenging conditions. FY2025–2026 was also a year of strategic investment. Our ongoing expansion from 30,000 MTPA to 54,000 MTPA, positioning the Company to participate in larger and more complex infrastructure opportunities in the years ahead. This investment is entirely about increasing capacity—it is about enhancing productivity, improving operational efficiency, and strengthening our competitive advantage. Our investments in capacity, technology, and Our growing order book, long-standing relationships with marquee customers, execution capabilities today are laying the and expanding presence across critical infrastructure sectors provide us with foundation for Karbonsteel’s next phase of confidence in the future. As India’s infrastructure ambitions continue to evolve, sustainable growth and long-term value the demand for Karbonsteel is well-positioned to create sustainable value through disciplined execution, technological capability, and engineering creation. excellence. On behalf of the Board, I extend my sincere gratitude to our customers, employees, business partners, bankers, shareholders, and all stakeholders for their continued trust and support. Together, we remain committed to building enduring infrastructure and creating long-term value for generations to come. With warm regards, Shrenik Kirrit Shah Managing Director Karbonsteel Engineering Limited refineries & industrial rail & pre-engineered steel plants chemicals structures infrastructure buildings Karbonsteel Engineering Limited Karbonsteel Engineering Limited Participated in mega steel expansion project Karbonsteel Engineering Limited OUR BUSINESS Karbonsteel Engineering Limited VERTICALS Karbonsteel Engineering Limited delivers specialized structural steel solutions across multiple segments, supporting critical infrastructure and industrial projects across India. HEAVY STEEL FABRICATED STRUCTURES High-quality fabricated steel structures 01 for industrial plants, refineries, factories, and large-scale infrastructure projects. PRECISION & TECHNOLOGICAL STEEL STRUCTURES Precision-engineered structures for 02 complex industrial applications requiring high accuracy, strength, and performance. STEEL BRIDGE STRUCTURES Design, fabrication, and erection of durable steel bridges for railways, roads, and other critical connectivity infrastructure. PRE-ENGINEERED BUILDINGS (PEBS) Cost-effective and robust pre-engineered 04 buildings for industrial, commercial, and warehousing applications. ENGINEERING STRENGTH. BUILDING TOMORROW. Karbonsteel Engineering Limited Karbonsteel Engineering Limited Karbonsteel Engineering Limited LEADERSHIP Karbonsteel Engineering Limited T E A M Karbonsteel Engineering Limited Karbonsteel Engineering Limited Karbonsteel Engineering Limited Karbonsteel Engineering Limited Karbonsteel Engineering Limited Karbonsteel Engineering Limited 96.4% Karbonsteel Engineering Limited Karbonsteel Engineering Limited HD Plasma Cutting Machine Karbonsteel Engineering [Showing first 8,000 characters — download PDF for full document]