Investor Presentation

Regd. Office: B-29, EEIE Stage II, Balanagar, Hyderabad - 500 037, Telangana, INDIA Phone: +91-40-23079310,11,12,13, Email: info@lokeshmachines.com Website: www.lokeshmachines.com, CIN: L29219TG1983PLC004319 August 13, 2026 To To BSE Limited National Stock Exchange of India Limited Department of Corporate Services Listing Department Floor 25, PJ Towers, Plot No. C/1, G Block, Exchange Plaza, Dalal Street, Mumbai- 400001 Bandra Kurla Complex, Bandra(E), Mumbai- 400051 Scrip Code: 532740 Company Code: LOKESHMACH Dear Sir/Madam, Sub: Investors Presentation Pursuant to the Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we are enclosing herewith the Investor Presentation in connection with the Un-Audited financial results of the Company for the Quarter ended on June 30, 2026. The copy of the same is also available on the website of the Company at https://www.lokeshmachines.com. This is for your information and records. Thanking You, Yours faithfully For Lokesh Machines Limited P. Kodanda Rami Reddy Company Secretary & Compliance Officer Encl.: a/a Units: Balanagar, Bonthapally, Medchal, Toopran, Ranjangaon-Pune. Resilience L O K E S H M A C H I N E S L I M I T E D Q1 FY27 Results Presentation Reopening Recovery 13 August 2026 Safe Harbour This presentation and the accompanying slides (the “Presentation”), prepared by Lokesh Machines Limited (the “Company”), have been prepared solely for information purposes and do not constitute an offer, recommendation, or invitation to purchase or subscribe for any securities. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company. The Presentation has been prepared from information and data the Company considers reliable; however, theCompanymakesnorepresentationorwarranty,expressorimplied,astothetruth,accuracy,completeness,fairness,orreasonablenessof itscontents,andanyliabilityinrespectofthecontentsof,oranyomissionfrom,thisPresentationisexpresslyexcluded. Please read this notice in full before This Presentation contains forward-looking statements regarding the Company's market opportunity and business prospects. Such relying on any information in this statementsdonotguaranteefuture performanceandaresubjecttoknown andunknown risksanduncertainties,includingbutnotlimitedto Presentation. the performance of the Indian and international economies, industry performance and competitive conditions, the Company's ability to execute its strategy, capacity expansion and technological change, movements in revenue, income and cash flows, market preferences, and exposure to market risk, among other factors. Actual results, levels of activity, performance, or achievements could differ materially and adverselyfromthoseexpressedorimpliedinthisPresentation. The Company assumes no obligation to update any forward-looking statement contained herein, and does not adopt or take responsibility forforward-lookingstatementsorprojectionsmadebyanythirdpartyreferencedinthisPresentation. INVESTOR PRESENTATION | Q1FY27 results 2 Q1 FY2026-27 Highlights Standalone results, quarter ended 30 June 2026 Financials Performance Defense and Components division restored at scale, with Q1 FY27 Change revenue up 693% YoY to ₹15.55 crore and PBIT of ₹2.15 crore at a up 15.4% YoY; 13.8% margin, now 27.9% of revenue against 4.1% a year ago. Revenue from operations ₹55.46 crore down 6.6% QoQ Machinery revenue at ₹40.22 crore, down 13.2% YoY, reflecting EBITDA ₹9.92 crore up 11.6% YoY the blocked export channels through the final sanctions quarter; reopenedmarketsposition the division for recovery from Q2. EBITDA margin 17.79% 18.39% in Q1 FY26 Profit after tax ₹1.01 crore up 121.7% YoY Margins held despite the input-cost spike: EBITDA margin of 17.79% against 18.39% a year ago, with pricing discipline and cost Basic EPS ₹0.49 ₹0.23 in Q1 FY26 control containing a sharprise in raw material costs. Balance sheet strengthened: ₹23.62 crore of preferential equity infused during the quarter, with capital employed up 16.3% QoQ to The last sanctions-era quarter. OFAC delisted the Company ₹265.55 crore as Componentsproduction ramped. on 30 June 2026, the final day of the quarter, so the entire quarter was operated under the sanctions regime. The Order book of ₹271 crore as of 12 August 2026, already ahead of reopened USD and EUR channels benefit the business from the previous financial year's total revenue, excluding the first Q2 FY27 onwards. quarter'sbillings. INVESTOR PRESENTATION | Q1FY27 results 4 Financial Highlights for Q1 FY2026-27 Standalone results, quarter ended 30 June 2026 Total Income EBITDA EBITDA Margin ₹55.77 Cr. ₹9.92 Cr. 17.79% ▲15.42% YoY ▲11.61% YoY ▼60 bps YoY Q1 FY26: ₹48.32 Cr. Q1 FY26: ₹8.89 Cr. Q1 FY26: 18.39% Profit After Tax PAT Margin Basic EPS ₹1.01 Cr. 1.81% ₹0.49 ▲121.75% YoY ▲87 bps YoY ▲113.04% YoY Q1 FY26: ₹0.46 Cr. Q1 FY26: 0.94% Q1 FY26: ₹0.23 EBITDA computed on total income before depreciation, finance costs and tax, consistent with the Performance Summary. INVESTOR PRESENTATION | Q1FY27 results 5 Regulatory Update: OFAC Delisting From designation to removal, and what reopens for the business 30 Oct 2024 Dec 2024 Jun–Nov 2025 30 Jun 2026 8 Jul 2026 Designated on the OFAC Wind-down licences Two OFAC questionnaires OFAC removes the Ministry of External SDN List under Executive expire; delisting petition received; detailed Company from the SDN Affairs, Government of Order 14024; the pursued through US legal responses filed by the List; all blocked property India, confirms the Company contests the counsel Company unblocked delisting basis from the outset What the delisting restores Banking channels Counterparty confidence Export markets USD and EUR banking channels reopen, Customers, suppliers and trade financiers The European and US end-markets restoring the Company's ability to no longer carry secondary-sanctions foreclosed during the designation transact with US persons and access the exposurein dealing with the Company. become addressable again for the US financial system. Machinerydivision. The Company continues to work closely with legal counsel to maintain full, ongoing compliance with OFAC regulations and other applicable international trade laws. INVESTOR PRESENTATION | Q1FY27 results 6 Performance Summary Standalone financial results, ₹ crore unless stated Particulars Q1 FY27 Q4 FY26 Q1 FY26 YoY % Operating leverage: gross profit Total income 55.77 59.77 48.32 +15.4% grew 17.0% YoY, ahead of the 15.4% revenue growth, and PBT Cost of goods sold 25.06 26.08 22.07 +13.5% nearly doubled to ₹1.41 crore. Gross profit 30.72 33.69 26.25 +17.0% Employee benefit expenses 10.95 11.24 9.55 +14.7% Finance costs of ₹4.65 crore Other expenses 9.84 11.54 7.81 +26.0% remain the largest item below EBITDA 9.92 10.91 8.89 +11.6% EBITDA; the preferential equity EBITDA margin (%) 17.79 18.26 18.39 −60 bps raised in the quarter supports the deleveraging agenda. Depreciation 3.86 3.93 3.77 +2.3% EBIT 6.06 6.98 5.11 +18.5% Tax: the effective tax rate eased to Finance cost 4.65 4.22 4.40 +5.7% 28.5% from 36.6% a year ago, with Profit before tax 1.41 2.76 0.72 +96.7% ₹0.35 crore of the ₹0.40 crore Profit after tax 1.01 2.15 0.46 +121.7% charge being deferred tax. Basic EPS (₹) 0.49 1.08 0.23 +113.0% INVESTOR PRESENTATION | Q1FY27 results 7 Segment Performance: A Two-Speed Quarter Standalone segment results per the Q1 FY27 filing, ₹ crore Segment Metric Q1 FY27 Q4 FY26 Q1 FY26 YoY % QoQ % Machinery: revenue was constrained through the final sanctions quarter by Machinery Revenue 40.22 52.75 46.36 −13.2% −23.8% blocked USD and EUR channels. With PBIT 5.15 8.14 6.19 −16.8% −36.7% the delisting effective 30 June 2026, reopened export markets support PBIT margin 12.8% 15.4% 13.3% — — recovery from Q2 FY27. Defence& Revenue 15.55 7.02 1.96 +693% +122% Components Defense & Components: the division returned to s [Showing first 8,000 characters — download PDF for full document]