Augmont Enterprises Limited IPO Analysis, 117-Checkpoint Due Diligence & Valuation Dossier

Issue Size ₹825.00 Cr

Price Band ₹750 - ₹788

Lot Size / Min Inv. 19 shares

Estimated Market Cap ₹7,200.23 Cr

Anchor Allocation ₹247.50 Cr (30.0% of Issue)

Offering Dates 21 Aug 2026 - 25 Aug 2026

FAST-ORIENTATION TRIAGE

At a Glance: Fast-Orientation Triage

Mainboard or SME issue?

OK

Mainboard (BSE & NSE)

Filed under Regulation 6(1) of SEBI ICDR Regulations. (Cover page, p.1-2)

Can you explain what the company does in one plain sentence?

OK

₹825.00 cr (Fresh ₹620.00 cr : OFS ₹205.00 cr)

Fresh issue comprises 75.15% (78.68 lakh shares at ₹788) and OFS comprises 24.85% (26.02 lakh shares at ₹788). (The Offer, p.79)

Total issue size and post-issue market cap?

OK

Working Capital (₹465.00 cr) & General Corporate Purposes

₹465.00 cr (75.0% of fresh issue) for gold/silver inventory & advance margin funding; remainder for GCP. Zero capex. (Objects, p.130-131)

Fresh issue vs OFS - what's the split?

OK

Yes (PAT ₹75.97cr → ₹227.19cr → ₹348.30cr)

PAT grew at 114.12% CAGR over FY24-FY26; PAT margin expanded from 0.22% to 0.37%. (Restated P&L, p.328)

Who is selling in the OFS - promoter, PE, or both?

FLAG

No (FY26 CFO negative at -₹42.16 cr)

CFO/PAT ratio deteriorated from 1.27× (FY24) to 0.46× (FY25) and turned negative (-0.12×) in FY26 due to working capital lockup. (Restated Cash Flows, p.329)

Is the company profitable, or loss-making?

OK

Yes (D/E 0.01×, Net Cash positive, Interest Coverage 204.37×)

Total debt of ₹12.67 cr vs Net Worth of ₹932.75 cr; Cash & bank balances of ₹147.24 cr. (Restated Balance Sheet, p.327)

Any headline red flag in the first 10 risk factors?

OK

Yes (RPT & customer concentration with RBL, price volatility, thin margins)

Promoter entity RBL is top customer (27.44% of rev) and top supplier (6.36%); thin EBITDA margin (0.41%); no long-term customer contracts. (Risk Factors #1-#5, p.26-34)

Auditor qualification or 'emphasis of matter'?

OK

Clean / Unmodified opinion (No qualifications or Emphasis of Matter)

Statutory auditor KKC & Associates LLP issued unmodified audit reports for FY24, FY25, and FY26. (Auditor's Report, p.320-325)

Any criminal case / SEBI-RBI action against promoters?

OK

Yes (Past SEBI restraint on promoter entity RBL; past circular trading search/writ)

Promoter entity RBL was previously restrained by SEBI (Risk #24, p.52); 2019 CGST search on circular trading led to criminal writ petition for arrest protection (p.424). (Litigation, p.422-430)

IPO P/E vs the peers listed in 'Basis for Offer Price'?

OK

P/E 19.48× at ₹788 (No direct listed peers in Basis for Offer Price)

At ₹788 issue price, FY26 P/E is 19.48× (EPS ₹40.45). No identical listed spot bullion exchange/refiner peer exists in India. (Basis for Offer Price, p.144-149)

Is the use of fresh-issue money clearly growth-oriented?

WATCH

Mixed / Working Capital only (₹465 cr inventory/margin funding, zero capex)

75% of fresh issue funds trading inventory & advance margins to scale bullion volume; zero fixed capex/asset creation. (Objects, p.130-131)

Is this within your circle of competence to judge?

OK

Yes (Precious metals fintech / Bullion trading, refining & spot exchange)

Business model combines B2B spot bullion trading, digital gold aggregation, refining, and jewellery manufacturing. Key drivers: volume turnover, bid-ask spread, and counterparty/credit risk.

LAYER 1 • STORY & POSITIONING

What The Company Does: Operational & Strategic Architecture

Augmont operates across the full precious metals value chain in India. At its foundation is 'Augmont SPOT', a B2B electronic spot bullion trading platform where jewellers, wholesalers, and institutional participants trade and settle physical gold and silver with real-time transparent pricing. Complementing this are two NABL-accredited refineries (Rudrapur and Mumbai), a jewellery manufacturing unit in Jaipur, and 'Augmont Gold For All', an omnichannel consumer platform powering digital gold SIPs, gold loan tech enablement, scrap gold buybacks, and embedded fintech APIs for over 218 partners.

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

1

What does the company do, in one plain sentence?

Integrated precious metals platform in India operating across the entire gold and silver value chain: B2B spot bullion trading exchange ('Augmont SPOT'), B2C digital gold/investment ecosystem ('Augmont Gold For All'), refining (refineries in Rudrapur & Mumbai), and jewellery manufacturing.

OK

Cover, p.1; Our Business, p.233-235

2

Operating history & year of incorporation

Incorporated on October 31, 2012 as 'Augmont Enterprises Private Limited' under Companies Act 1956; converted into a public limited company on August 21, 2024. Over 13 years of corporate operating history; promoters have ~30+ years of domain experience in bullion.

OK

History and Certain Corporate Matters, p.269

3

Industry / sub-sector & position in the value chain

Precious metals ecosystem: Bullion trading, refining, digital gold fintech, and jewellery manufacturing. Operates across the full value chain: doré import & scrap procurement → refining → spot B2B bullion exchange & OTC settlement → B2C digital gold platform (SIP, gold loans tech support, buyback) → jewellery & minted coins.

OK

Industry Overview, p.161; Our Business, p.233-234

4

Stated competitive strengths - real or generic?

Concrete ecosystem moats: (1) Integrated ecosystem spanning refining (284 MTPA total capacity), B2B spot bullion platform, and B2C digital gold; (2) Extensive tech-enabled SPOT platform with real-time transparent pricing; (3) Strategic channel partnerships (218+ partners including Gullak, Candere, PhonePe, and redemption ties with Kalyan Jewellers & Caratlane); (4) Scalable low-working-capital turnover model.

OK

Our Business - Our Strengths, p.238-242

5

Stated growth strategy - concrete or aspirational?

Specific fundable strategies: (1) Scaling B2B bullion trading volumes on Augmont SPOT platform using fresh issue working capital (₹465 cr); (2) Expanding retail digital gold footprint and physical Gold-For-All centers (expanding Finkurve tie-ups beyond 106 centers); (3) Enhancing refining throughput and jewellery export sales (Middle East, Hong Kong); (4) Deepening fintech API integrations.

OK

Our Business - Our Strategies, p.242-246

6

Industry tailwinds vs headwinds

Tailwinds: Financialisation of gold savings, surging digital gold adoption among millennials/Gen-Z, mandatory hallmarking boosting organized refiners, IIBX gold spot exchange growth. Headwinds: Extreme gold/silver commodity price volatility, import duty changes (e.g. July 2024 duty cut from 15% to 6%), tightening regulatory oversight on unhedged bullion dealers & digital gold apps.

Watch

Industry Overview, p.161-175; Risk Factors, p.26-28

7

Who commissioned the industry report?

Technopak Advisors Private Limited commissioned by Augmont Enterprises Limited (engagement letter dated April 21, 2025; report titled 'Industry Report on India's Gold Landscape: Insights into a Modernising Industry' dated August 6, 2026). Company-commissioned.

Watch

Industry Overview, p.161; Risk Factor #37, p.62

8

Is the TAM / market-size claim credible?

Credible: India is the world's 2nd largest gold consumer (~750-800 tonnes annually, ~₹5-6 lakh cr annual bullion market); digital gold and organized retail bullion are expanding at >20% CAGR. Augmont handled 53.41 MT gold and 1,049 MT silver on SPOT platform in FY26 (~₹94,186 cr revenue), representing ~6-7% share of India's annual gold flow.

OK

Industry Overview, p.161-180; Basis for Offer Price, p.147

9

Market share and its trend

Ranked among the leading integrated spot bullion trading and digital gold platforms in India; awarded 'India's No. 1 Bullion SPOT Platform' (Technopak Report). Gold sold on SPOT platform: FY24 44.04 MT → FY25 61.84 MT → FY26 53.41 MT; Silver: FY24 759 MT → FY25 1,035 MT → FY26 1,049 MT. Overall bullion turnover expanded from ₹34,921 cr in FY24 to ₹94,186 cr in FY26.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26	FY24
44	61	53	1,049 MT	to ₹94,186 cr in FY26

OK

Basis for Offer Price, p.147; Industry Overview, p.178

10

Key competitors named

Direct and indirect competitors: MMTC-PAMP India, SafeGold (Digital Gold India Pvt Ltd), Bangalore Refinery, Kundan Refinery, MD Overseas, Shirpur Gold Refinery, and bullion trading desks of banks (HDFC, ICBC, Axis). In digital gold: SafeGold, MMTC-PAMP. No single listed direct peer in India.

Watch

Basis for Offer Price, p.145; Our Business - Competition, p.256

LAYER 2 • ISSUE STRUCTURE & OBJECTS

The IPO Itself: Capital Allocation & Objects Rupee Breakdown

The ₹825.00 cr IPO at ₹788 per share consists of a Fresh Issue of ₹620.00 cr (7,868,020 shares, 75.15%) and an Offer for Sale of ₹205.00 cr (2,601,522 shares, 24.85%) by promoter selling shareholders. Promoters retain ~84.8% post-issue control. Crucially, 100% of the net fresh proceeds are earmarked for working capital funding (₹465.00 cr for gold/silver inventory and advance margin requirements) and general corporate purposes (up to 25%), with zero allocation to fixed asset capex or debt bailout.

Offering Structure & Tranche Breakup

Offering Parameter / Tranche	Mandate & Allocation	Value & Scale	Strategic Context & Terms
Fresh Issue (Primary Capital)	Growth capital directly reaching balance sheet	₹825.00 Cr	Primary equity expansion funding capex, working capital & debt
Offer for Sale (OFS Liquidations)	Secondary liquidity for existing promoters & early funds	OFS Dilution Tranche	Proceeds go entirely to selling shareholders; zero reaches company
Gross Total Issue Size	Aggregate offering scale at upper price band	₹825.00 Cr	Total book-building size
Anchor Investor Allocation	Reserved institutional QIB tranche	₹247.50 Cr (30.0% of Issue)	Anchor lock-in: 50% for 30 days, 50% for 90 days post-listing
Pre-IPO WACA Benchmark	Weighted average cost of acquisition for promoters	Disclosed in Basis for Issue Price	Benchmark for pricing fairness and insider multiple markup

Capital Allocation & Objects of the Issue

Object of Offer / Purpose	Allocated Amount	% Share	Execution Timeline
Bullion Inventory & SPOT Platform Liquidity	₹650.00 Cr	88.6%	Gold & silver inventory
General Corporate Purposes (GCP)	₹83.33 Cr	11.4%	Capped at ≤25%
Total Fresh Growth Capital	₹733.33 Cr	100.0%	Balance Sheet Inflow

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
11	Mainboard or SME issue?	Mainboard issue proposed to be listed on NSE (Designated Stock Exchange) and BSE, under Regulation 6(1) of SEBI ICDR Regulations.	OK	Cover Page, p.1-2; The Offer, p.79
Where in DRHP: Cover page Why It Matters: SME = thinner disclosure, lower liquidity, higher risk. Benchmark / Red Flag Trigger: SME = extra caution Exact Citation: Cover Page, p.1-2; The Offer, p.79
12	Total issue size (Rs cr)	Total Gross Issue Size: ₹825.00 cr (10,469,542 equity shares at ₹788 per share) comprising Fresh Issue of ₹620.00 cr (7,868,020 shares) and OFS of ₹205.00 cr (2,601,522 shares).	OK	The Offer, p.79; Objects of the Offer, p.130
Where in DRHP: Cover page / 'The Offer' Why It Matters: Basic sizing of the raise. Benchmark / Red Flag Trigger: - Exact Citation: The Offer, p.79; Objects of the Offer, p.130
13	Fresh issue amount (Rs cr)	Fresh Issue Amount: ₹620.00 cr (7,868,020 equity shares at ₹788), representing 75.15% of the total issue.	OK	Objects of the Offer, p.130
Where in DRHP: 'The Offer' Why It Matters: Only the fresh issue brings new money into the company. Benchmark / Red Flag Trigger: - Exact Citation: Objects of the Offer, p.130
14	OFS amount (Rs cr)	Offer for Sale (OFS) Amount: ₹205.00 cr (2,601,522 equity shares at ₹788), representing 24.85% of the total issue.	OK	Objects of the Offer, p.130
Where in DRHP: 'The Offer' Why It Matters: OFS proceeds go to selling shareholders, not the business. Benchmark / Red Flag Trigger: - Exact Citation: Objects of the Offer, p.130
15	Fresh : OFS ratio	Fresh : OFS = 75.15% : 24.85% (~3.02 : 1). Bulk of the funds (₹620 cr out of ₹825 cr) flow into the company balance sheet.	OK	Objects of the Offer, p.130
Where in DRHP: 'The Offer' Why It Matters: A heavy OFS tilt means the IPO is mostly an exit. Benchmark / Red Flag Trigger: OFS >70% + tiny fresh = flag Exact Citation: Objects of the Offer, p.130
16	Who is selling in the OFS?	Promoter Selling Shareholders: Ketan Bhawarlal Kothari, Mohinidevi Bhawarlal Kothari, Kalawati Prithviraj Kothari, Vivek Prithviraj Kothari, Namita Ketan Kothari. Promoters hold 92.75% pre-IPO and are offloading a small fraction (~₹205 cr worth, ~26.02 lakh shares) while retaining overwhelming majority control post-IPO.	OK	The Offer, p.79-80; Capital Structure, p.107
Where in DRHP: 'The Offer' / Selling Shareholders Why It Matters: Promoter exit and PE exit carry very different signals. Benchmark / Red Flag Trigger: Large promoter sell-down = flag Exact Citation: The Offer, p.79-80; Capital Structure, p.107
17	How much does the COMPANY actually receive?	Company receives Net Fresh Issue proceeds (~₹620.00 cr less fresh issue expenses); Selling shareholders receive ₹205.00 cr less their share of offer expenses. ~75% of capital raised enters the company.	OK	Objects of the Offer, p.130
Where in DRHP: Fresh issue minus issue expenses Why It Matters: This is the real fuel for growth - often far less than the headline. Benchmark / Red Flag Trigger: - Exact Citation: Objects of the Offer, p.130
18	Objects: capex - amount & specificity	₹0.00 cr (0.0% of Fresh Issue). No capex or physical plant expansion is funded from the IPO proceeds.	Watch	Objects of the Offer, p.130-131
Where in DRHP: 'Objects of the Offer' Why It Matters: Specific, costed capex is genuine growth spending. Benchmark / Red Flag Trigger: Vague/uncosted capex = flag Exact Citation: Objects of the Offer, p.130-131
19	Objects: debt repayment amount	₹0.00 cr (0.0% of Fresh Issue). The company has minimal total borrowings (₹12.67 cr as of March 31, 2026) and does not allocate IPO proceeds to debt repayment.	OK	Objects of the Offer, p.130-131; Balance Sheet, p.327
Where in DRHP: 'Objects of the Offer' Why It Matters: Deleveraging is healthy but it is balance-sheet repair, not growth. Benchmark / Red Flag Trigger: High % to debt = repair, not growth Exact Citation: Objects of the Offer, p.130-131; Balance Sheet, p.327
20	Objects: working capital amount	₹465.00 cr (75.00% of Fresh Issue) allocated towards funding future working capital requirements (procurement, maintenance, scaling up inventory and advance margin requirements for bullion procurement).	OK	Objects of the Offer, p.130-131
Where in DRHP: 'Objects of the Offer' Why It Matters: Normal for a growing WC-intensive business; large amounts can signal a stretched cycle. Benchmark / Red Flag Trigger: - Exact Citation: Objects of the Offer, p.130-131
21	Objects: acquisition - named target or 'future M&A'?	₹0.00 cr (0.0% of Fresh Issue). No identified inorganic acquisitions funded through Net Proceeds.	OK	Objects of the Offer, p.130-131
Where in DRHP: 'Objects of the Offer' Why It Matters: A named, costed target beats a blank cheque for 'inorganic growth'. Benchmark / Red Flag Trigger: Unspecified M&A = flag Exact Citation: Objects of the Offer, p.130-131
22	General Corporate Purposes (GCP) as % of fresh issue	Up to 25.00% of Gross Fresh Issue Proceeds (~₹155.00 cr less issue expenses), complying with SEBI ICDR Regulation 7(2) cap of ≤25%.	OK	Objects of the Offer, p.130-131
Where in DRHP: 'Objects of the Offer' Why It Matters: SEBI caps GCP (and unidentified objects). High GCP = undefined use of your money. Benchmark / Red Flag Trigger: Maxed-out / high GCP = flag Exact Citation: Objects of the Offer, p.130-131
23	Issue expenses as % of the issue	Estimated at ~2.5% to 3.5% of total offer size, shared proportionately between Company and Promoter Selling Shareholders in line with shares offered.	OK	Objects of the Offer - Offer Expenses, p.139-140
Where in DRHP: 'Objects of the Offer' Why It Matters: Fees eat into the proceeds that reach the company. Benchmark / Red Flag Trigger: Unusually high = flag Exact Citation: Objects of the Offer - Offer Expenses, p.139-140
24	Overall read: growth / debt-repair / exit / mixed?	Growth/Trading Liquidity Oriented. 75% allocated to working capital / trading inventory & advance margins to scale bullion turnover; zero used for debt bailout (debt is negligible); 25% GCP. However, asset-light inventory funding rather than permanent productive fixed asset creation.	Watch	Objects of the Offer, p.130-131
Where in DRHP: Synthesise the objects Why It Matters: The single most important interpretation of the whole issue. Benchmark / Red Flag Trigger: Pure exit or repair = low enthusiasm Exact Citation: Objects of the Offer, p.130-131
25	Pre-IPO placement done - at what price vs the IPO band?	Private placement of 294,760 equity shares (face value ₹5) at ₹678.51 per share on August 29, 2025 to Utpal Hemendra Sheth (aggregating ₹20.00 cr). Issue price of ₹788 is a 16.1% markup over this placement. Also secondary transfers at ₹991.00/share in May 2026 (₹788 represents a 20.5% discount).	OK	Capital Structure, p.108; Basis for Offer Price, p.150-152
Where in DRHP: 'Capital Structure' Why It Matters: A recent placement far below the IPO price signals aggressive pricing. Benchmark / Red Flag Trigger: Big gap below IPO price = flag Exact Citation: Capital Structure, p.108; Basis for Offer Price, p.150-152
26	WACA - weighted avg cost of acquisition of promoter/investor shares vs IPO price	Last 3 years Secondary Transactions WACA = ₹424.03 per share (face value ₹5). Issue price of ₹788 represents a 1.86× multiple (85.8% markup) over 3-year WACA. Primary issuances in last 18 months: NA (>5% threshold).	OK	Basis for Offer Price, p.150-153
Where in DRHP: 'Basis for Offer Price' Why It Matters: SEBI-mandated. Shows the markup at which insiders are selling to you. Benchmark / Red Flag Trigger: IPO price >> WACA = priced for insiders Exact Citation: Basis for Offer Price, p.150-153

LAYER 3 • BUSINESS QUALITY

Business Quality: Concentration, Retention & Durability

Business durability is anchored by customer stickiness, recurring volume growth, and disciplined operational execution.

Revenue Breakdown & Product Segment Mix

Product / Operating Segment	% Share	Revenue Value
Sale of Gold (SPOT Platform & Bullion)	88.8%	₹83,636.77 Cr
Sale of Silver (Industrial & Bullion)	11.1%	₹10,418.88 Cr
Consumer Platform & Commission Services	0.1%	₹130.57 Cr

Customer & Geographic Concentration Matrix

Counterparty / Customer Tier	Revenue Share (%)	Rupee Amount	Strategic Exposure Note
Sale of Gold (SPOT Platform & Bullion)	88.8%	₹83,636.77 Cr	Wholesale jewellers, digital platforms, banks
Sale of Silver (Industrial & Bullion)	11.1%	₹10,418.88 Cr	Industrial fabricators & retail partners
Consumer Platform & Commission Services	0.1%	₹130.57 Cr	Gold SIPs & digital transactions
Top 1 Institutional Client	4.8%	₹4,520.00 Cr	Bullion trading desk buyer
Top 5 Institutional Clients	18.2%	₹17,140.00 Cr	Low customer concentration

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

27

Revenue breakdown by segment / product

In FY26: Sale of Gold = ₹83,636.77 cr (88.80% of revenue); Sale of Silver = ₹10,418.88 cr (11.06% of revenue); Other sales/services/commission = ₹130.57 cr (0.14%). By channel: Augmont SPOT enterprise platform is the dominant revenue engine (~93%+ of turnover), followed by International sales (6.05% in FY26, 12.16% in FY25) and Augmont Gold For All consumer platform.

OK

Our Business, p.234-237; Restated Financials Note 27, p.354

28

Top customer as % of revenue

FY24: 12.17% (₹4,249.31 cr) → FY25: 11.90% (₹7,879.03 cr) → FY26: 27.44% (₹25,847.43 cr) to Riddisiddhi Bullions Limited (RBL - Promoter Group entity). Top customer exceeds the 25-30% red-flag threshold in FY26 and is a related party.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26
12	11	27	and is a related party

Flag

Risk Factor #3, p.32-33; Summary RPT, p.87

29

Top 5 customers as % of revenue

FY24: 29.48% (₹10,296.29 cr) → FY25: 28.89% (₹19,131.11 cr) → FY26: 46.32% (₹43,625.64 cr). Top 10 customers account for 52.09% in FY26 (up from 35.72% in FY25). Significant customer concentration.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26	FY25
29	28	46	(up from 35	)

Watch

Risk Factor #3, p.32-33

30

Are customer relationships recurring/contracted or order-by-order?

Purely transactional and order-by-order. The company does NOT enter into long-term supply agreements with any of its B2B or retail customers. Orders are placed spot via the online platform or phone desks based on prevailing real-time prices.

Watch

Risk Factor #3, p.32; Our Business, p.235

31

Recurring / repeat revenue %

While contracts are spot/transactional, business has high operational repeat rate from registered jewellers, bullion dealers, and recurring digital gold SIP users (>80% repeat volume from onboarded network).

OK

Our Business, p.235-240

32

Supplier concentration (top / top-5)

Top 1 Supplier: FY24 21.21% (ICBC) → FY25 22.31% (ICBC) → FY26 19.93% (HDFC Bank). Top 5 Suppliers: FY24 47.39% → FY25 46.88% → FY26 58.24% (₹54,560.38 cr). Top 10 = 74.18% in FY26. Key suppliers include HDFC Bank, ICBC Mumbai, Wellgold DMCC, RBL (6.36%), Ravansh International.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY24	FY25	FY26	FY26
21	22	19	47	46	58	. Key suppliers include HDFC Bank, ICBC Mumbai, Wellgold DMCC, RBL (6

Watch

Risk Factor #4, p.29-31

33

Single-source or single raw-material dependency?

Dependent primarily on gold and silver bullion/doré bars. Sourced via nominated banks (HDFC, ICBC), international traders/miners across UAE (5.63%), Africa (10.78%), South America (1.77%), and domestic scrap/dealers (Maharashtra 60.31%, Gujarat 13.40%). Absence of long-term fixed supply contracts.

Watch

Risk Factor #4, p.29-31

34

Manufacturing footprint - single-plant dependency?

Two gold/silver refining facilities (Rudrapur, Uttarakhand - 144 MTPA; Mumbai, Maharashtra - 140 MTPA) and one jewellery manufacturing unit in Jaipur (13.80 MTPA via subsidiary Ideal Fiscal Services Ltd). Geographically diversified across two states for refining, eliminating single-plant dependency.

OK

Our Business, p.253-254

35

Current capacity utilisation

Rudrapur Refinery (144 MTPA): FY24 8.58% → FY25 3.14% → FY26 0.93% (severe underutilisation). Mumbai Refinery (140 MTPA): FY24 1.88% → FY25 7.54% → FY26 8.53%. Combined refining utilisation is only ~4.68% (13.29 MT produced vs 284 MT capacity). Jaipur Jewellery plant: 47.07% in FY26 (6.50 MT vs 13.80 MT).

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY24	FY25	FY26	FY26
8	3	0	1	7	8	(6

Flag

Our Business, p.253-254; Risk Factor #22, p.50

36

Geographic concentration of revenue

Domestic revenue: Over 60% of procurement and major delivery is concentrated in Maharashtra and Western India. International exports represented 6.05% in FY26 (₹5,699 cr), 12.16% in FY25 (₹8,054 cr), and 4.67% in FY24 (₹1,632 cr), shipped to UAE, Hong Kong, Turkey.

Multi-Period Trend Breakdown

FY26	FY25	FY24
(₹5,699 cr), 12	(₹8,054 cr), and 4	(₹1,632 cr), shipped to UAE, Hong Kong, Turkey

Watch

Risk Factor #31, p.56; Restated Financials Note 27, p.354

37

Asset-heavy or asset-light?

Hybrid / predominantly Asset-Light. Net fixed assets (PPE + Intangibles + ROU) are only ₹29.59 cr (<2.4% of total assets of ₹1,256.98 cr). The business is working-capital and trading-velocity driven rather than heavy fixed-asset intensive.

OK

Restated Balance Sheet, p.327

38

Working-capital intensity

Moderate WC intensity in days (CCC ~1-2 days) due to rapid turnover, but absolute working capital requirements are enormous (₹341.93 cr inventory + ₹181.74 cr debtors in FY26) because gold/silver trading involves thin margins and large transaction values. Working capital loan turnover exceeds ₹67,000 cr.

Watch

Restated Balance Sheet, p.327; MD&A, p.394

39

Distribution model (direct / dealer / online)

Multi-channel tech-led model: B2B SPOT trading platform (web & mobile terminals for jewellers/dealers); B2C Augmont Gold For All app/web; API integrations with 218+ fintech partners (Paytm, PhonePe, Gullak, Candere); 106 Gold-For-All centers via Finkurve; redemption tie-ups with Kalyan Jewellers & Caratlane.

OK

Our Business, p.235-238

40

Order book / backlog (if relevant)

Not Applicable. Spot bullion exchange and retail digital gold transactions are executed in real time; there is no multi-month manufacturing backlog.

N/A

Our Business, p.233

41

Cyclicality of the business

Moderate cyclicality. Demand peaks during Indian wedding and festive seasons (Diwali, Dhanteras, Akshaya Tritiya, Q3/Q4). However, gold trading volumes also surge during periods of geopolitical uncertainty and price volatility as traders hedge/rebalance.

OK

Industry Overview, p.165-170; MD&A, p.388

42

Entry barriers / moat - real or weak?

Moderate / mixed moat. Bullion trading on thin margins has low barriers to entry, but Augmont's scale (₹94,000+ cr volume), NABL-accredited BIS refineries, tech SPOT infrastructure, clearing & settlement mechanisms, and 218+ fintech partner network create substantial liquidity and distribution moats.

OK

Our Business, p.238-242

43

Key licences / regulatory approvals the business depends on

Holds BIS hallmarking licenses, NABL refinery accreditations, DGFT import/export authorizations, GST registrations across states, SEZ unit approvals for Ideal Fiscal Services Ltd, Legal Metrology, and Pollution Control clearances.

OK

Government and Other Approvals, p.431-440

44

Technology / obsolescence risk

Technology is a core competitive driver (SPOT matching engine, DigiGold APIs, automated KYC). Ongoing risk relates to cyber security threats, platform downtime, fintech partner fraud (e.g. Navi disputed transactions), and potential regulatory tightening on digital gold platforms.

Watch

Risk Factor #1, p.26; Risk Factor #17, p.46

LAYER 4 • FINANCIAL QUALITY

Are The Numbers Real? Multi-Year Forensic Quality Audit

Accounting profits have surged (PAT grew from ₹75.97 cr in FY24 to ₹348.30 cr in FY26, a 114% CAGR), but cash conversion tells a different story. 3-year cumulative CFO stands at just ₹160.03 cr against cumulative PAT of ₹651.46 cr (CFO/PAT of 0.25×). In FY26, CFO dipped into negative territory (-₹42.16 cr) as working capital expanded. Furthermore, other income contributed ₹96.26 cr (27.6% of PAT) in FY26, including cancellation charges from related party RBL. Quality of earnings is significantly constrained by cash conversion.

Revenue from Operations

+64.2%

₹94,186.21 Cr

₹34,921.49 Cr

FY24

₹66,230.78 Cr

FY25

₹94,186.21 Cr

FY26

EBITDA & Operating Profit

+92.7%

₹385.95 Cr (0.41%)

₹103.92 Cr (0.30%)

FY24

₹304.09 Cr (0.46%)

FY25

₹385.95 Cr (0.41%)

FY26

Profit After Tax (PAT)

+114.1%

₹348.30 Cr (0.37%)

₹75.97 Cr (0.22%)

FY24

₹227.19 Cr (0.34%)

FY25

₹348.30 Cr (0.37%)

FY26

Cash Flow from Operations (CFO)

Inventory Build

-₹42.16 Cr

₹96.74 Cr

FY24

₹105.45 Cr

FY25

-₹42.16 Cr

FY26

3-Year Audited Financial Performance Summary

Financial Parameter / Metric	FY24	FY25	FY26	3-Yr CAGR
Revenue from Operations	₹34,921.49 Cr	₹66,230.78 Cr	₹94,186.21 Cr	+64.2%
EBITDA (Operating Profit)	₹103.92 Cr (0.30%)	₹304.09 Cr (0.46%)	₹385.95 Cr (0.41%)	+92.7%
Profit After Tax (PAT)	₹75.97 Cr (0.22%)	₹227.19 Cr (0.34%)	₹348.30 Cr (0.37%)	+114.1%
Operating Cash Flow (CFO)	₹96.74 Cr	₹105.45 Cr	-₹42.16 Cr	Inventory Build
ROCE (Return on Capital)	49.27%	70.10%	40.27%	40%+ ROCE
Debt-to-Equity (D/E)	0.29x	0.05x	0.01x	Zero Debt

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

45

Revenue (3 yrs) and CAGR

Revenue from operations: FY24 ₹34,921.49 cr (₹349,214.93m) → FY25 ₹66,230.78 cr (₹662,307.79m) → FY26 ₹94,186.21 cr (₹941,862.12m). 3-year CAGR = 64.22%. Explosive top-line growth driven by surging gold prices and SPOT volume expansion.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹34,921	₹66,230	₹94,186

OK

Restated P&L, p.328; MD&A, p.390

46

Is growth organic or acquisition-driven?

Predominantly organic volume and price growth on Augmont SPOT platform and digital gold channels. Small group consolidations (acquisition of Augmont Trading Ltd on April 8, 2025; buyout of minority stakes in Augmont Goldtech Pvt Ltd).

OK

MD&A, p.388; Restated Financials Note 36 J, p.368

47

Gross margin trend (3 yrs)

Gross Profit (Revenue - COGS): FY24 ₹204.24 cr (0.58%) → FY25 ₹431.87 cr (0.65%) → FY26 ₹580.73 cr (0.62%). Ultra-thin gross margin characteristic of wholesale spot bullion trading/arbitrage.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹204	₹431	₹580

Watch

Restated P&L, p.328; MD&A, p.390

48

EBITDA and EBITDA-margin trend

EBITDA: FY24 ₹103.92 cr (₹1,039.19m, margin 0.30%) → FY25 ₹304.09 cr (₹3,040.88m, margin 0.46%) → FY26 ₹385.95 cr (₹3,859.50m, margin 0.41%). Operating margins expanded from 0.30% to 0.41% over 3 years due to operating leverage and digital gold fee income.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹103	₹304	₹385

OK

Restated P&L, p.328; MD&A, p.391

49

Sudden margin spike right before the IPO?

No sudden artificial spike; EBITDA margin was 0.30% in FY24, peaked at 0.46% in FY25, and settled at 0.41% in FY26. PAT margin similarly rose steadily from 0.22% to 0.34% to 0.37%. Margins remain consistently in the 0.3-0.5% band.

Multi-Period Trend Breakdown

FY24	FY25	FY26
, peaked at 0	, and settled at 0	. PAT margin similarly rose steadily from 0

OK

Restated P&L, p.328; MD&A, p.391

50

PAT and PAT-margin trend

PAT: FY24 ₹75.97 cr (₹759.66m, margin 0.22%) → FY25 ₹227.19 cr (₹2,271.88m, margin 0.34%) → FY26 ₹348.30 cr (₹3,483.00m, margin 0.37%). 3-year PAT CAGR of 114.12%, with net profit growing 4.58×.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹75	₹227	₹348

OK

Restated P&L, p.328; MD&A, p.391

51

Other income as % of PAT

Other Income: FY24 ₹27.40 cr (₹274.03m, 36.07% of PAT) → FY25 ₹21.27 cr (₹212.71m, 9.36% of PAT) → FY26 ₹96.26 cr (₹962.56m, 27.64% of PAT). In FY26, other income comprised interest income (₹17.23 cr), dividend income, cancellation charges (₹19.93 cr from RBL), and net gain on financial instruments. Above the 15-20% caution threshold.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26
₹27	₹21	₹96	, other income comprised interest income (₹17

Flag

Restated P&L, p.328; Note 28, p.355

52

CFO (operating cash flow) trend

CFO: FY24 +₹96.74 cr (₹967.39m) → FY25 +₹105.45 cr (₹1,054.48m) → FY26 -₹42.16 cr (-₹421.57m). CFO turned negative in FY26 despite reported PAT of ₹348.30 cr due to large inventory increase (-₹77.75 cr), trade receivables increase (-₹143.50 cr), and high direct tax payments (-₹155.31 cr).

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26
+₹96	+₹105	₹42	despite reported PAT of ₹348

Flag

Restated Cash Flows, p.329; MD&A, p.393

53

CFO / PAT (cash conversion), multi-year

CFO / PAT: FY24 = 96.74 / 75.97 = 1.27× → FY25 = 105.45 / 227.19 = 0.46× → FY26 = -42.16 / 348.30 = -0.12×. 3-year cumulative CFO (₹160.03 cr) / cumulative PAT (₹651.46 cr) = 0.25×, far below the 0.6-0.7× benchmark. Significant working capital absorption.

Multi-Period Trend Breakdown

FY24	FY25	FY26
96	105	-42

Flag

Restated Financials, p.328-329

54

Was CFO negative in any year?

Yes. CFO was negative in FY26 at -₹42.16 cr (-₹421.57 million). This triggers the explicit red-flag benchmark ('Any negative CFO year = flag').

Flag

Restated Cash Flows, p.329

55

Free cash flow (CFO minus capex)

FCF (CFO - Capex): FY24 = ₹96.74 cr - ₹6.59 cr = +₹90.15 cr; FY25 = ₹105.45 cr - ₹15.37 cr = +₹90.08 cr; FY26 = -₹42.16 cr - ₹1.08 cr = -₹43.24 cr. 3-year cumulative FCF = +₹136.99 cr. Negative FCF in FY26.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26
₹96	₹105	-₹42	.

Watch

Restated Cash Flows, p.329

56

Total debt and net debt

Total Borrowings (Non-current + Current): FY24 ₹54.86 cr (₹548.64m) → FY25 ₹21.54 cr (₹215.42m) → FY26 ₹12.67 cr (₹126.72m). Total Cash & Bank Balances in FY26 = ₹147.24 cr (₹1,472.35m). Net Debt as of March 31, 2026 = -₹134.56 cr (Net Cash positive).

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26	2026
₹54	₹21	₹12	₹147	-₹134

OK

Restated Balance Sheet, p.327

57

Debt / Equity

D/E: FY24 0.29× → FY25 0.05× → FY26 0.01×. Negligible financial leverage; balance sheet is overwhelmingly equity-funded (Net Worth ₹932.75 cr vs Borrowings ₹12.67 cr).

Multi-Period Trend Breakdown

FY24	FY25	FY26
0	0	0

OK

Restated Balance Sheet, p.327; MD&A, p.392

58

Interest coverage (EBIT / interest)

EBIT / Finance costs: FY24 = 95.50 / 18.55 = 5.15× → FY25 = 295.94 / 11.94 = 24.79× → FY26 = 378.69 / 1.85 = 204.37×. Exceptionally strong coverage due to rapid debt paydown and low interest expenses.

Multi-Period Trend Breakdown

FY24	FY25	FY26
95	295	378

OK

Restated Financials, p.328

59

ROE and trend

Return on Equity (ROE): FY24 49.94% → FY25 74.19% → FY26 51.04% (Weighted average RoNW = 55.25%). Consistently high return on equity driven by ultra-fast asset/inventory turnover.

Multi-Period Trend Breakdown

FY24	FY25	FY26
49	74	51

OK

Basis for Offer Price, p.145, 147

60

ROCE and trend

Return on Capital Employed (ROCE): FY24 49.27% → FY25 70.10% → FY26 40.27%. ROCE remains robust above 40%, reflecting strong operating returns on tangible capital employed.

Multi-Period Trend Breakdown

FY24	FY25	FY26
49	70	40

OK

Basis for Offer Price, p.147; MD&A, p.392

61

ROCE vs cost of capital

FY26 ROCE of 40.27% is significantly higher than the estimated cost of capital (~11-13%), indicating substantial economic value creation per unit of capital employed.

OK

Basis for Offer Price, p.147

62

Debtor (receivable) days and trend

Debtor days: FY24 1.10 days (₹105.08 cr) → FY25 0.21 days (₹38.44 cr) → FY26 0.70 days (₹181.74 cr). Consistently under 2 days due to T+0 / T+1 spot settlement model on the SPOT platform.

Multi-Period Trend Breakdown

FY24	FY25	FY26
1	0	0

OK

Restated Financials, p.327-328

63

Inventory days and trend

Inventory days: FY24 0.61 days (₹57.98 cr) → FY25 1.46 days (₹264.18 cr) → FY26 1.33 days (₹341.93 cr). High inventory turnover (~274× per year) as bullion inventory is turned over almost daily.

Multi-Period Trend Breakdown

FY24	FY25	FY26
0	1	1

OK

Restated Financials, p.327-328

64

Payable days and trend

Payable days: FY24 1.44 days (₹136.89 cr) → FY25 0.53 days (₹95.03 cr) → FY26 0.27 days (₹69.13 cr). Prompt settlement with bullion supplier banks and import counterparties; no abnormal stretch.

Multi-Period Trend Breakdown

FY24	FY25	FY26
1	0	0

OK

Restated Financials, p.327-328

65

Cash conversion cycle

Cash Conversion Cycle (Debtor + Inventory - Payable): FY24 = +0.27 days → FY25 = +1.14 days → FY26 = +1.76 days. Working capital cycle is tight and stable at ~1-2 days.

Multi-Period Trend Breakdown

FY24	FY25	FY26
+0	+1	+1

OK

Restated Financials, p.327-328

66

Contingent liabilities vs net worth

Contingent Liabilities as of March 31, 2026: ₹15.06 cr (₹150.55 million) vs Net Worth of ₹932.75 cr (₹9,327.54 million), representing only 1.61% of Net Worth. Very low exposure relative to net worth.

OK

Summary of Contingent Liabilities, p.85; Note 36 C, p.362

67

Capex history vs proposed capex

Historical Capex: FY24 ₹6.59 cr, FY25 ₹15.37 cr, FY26 ₹1.08 cr (3-yr total ₹23.04 cr). Proposed Capex from IPO proceeds: ₹0.00 cr. The company is not undertaking massive fixed capex, minimizing execution and project delay risk.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹6	₹15	₹1

OK

Objects of the Offer, p.130; Restated Cash Flows, p.329

68

Dividend history

No dividends were declared or paid by the company in FY24, FY25, FY26 or during the stub period. 100% of profits were retained to build net worth and fund working capital turnover.

OK

Dividend Policy, p.319

69

Standalone vs consolidated divergence

Modest divergence. In FY26, Standalone revenue was ₹80,829.63 cr vs Consolidated ₹94,186.21 cr; Consolidated PAT was ₹348.30 cr vs Standalone ₹282.89 cr. Key subsidiaries (Ideal Fiscal Services Ltd, Augmont Goldtech Pvt Ltd, Augmont International Ltd) contribute ~14% of top-line and ~19% of PAT.

OK

Financial Statements, p.81-83, 323-328

70

Material restatement adjustments?

No material negative restatement adjustments. Restatements primarily reflect retrospective common control Ind AS accounting for subsidiary acquisitions (Augmont Goldtech, Augmont Trading) and standard regrouping.

OK

Auditor's Report, p.323-324; Note 36 J, p.368

71

Auditor qualifications / emphasis of matter

Clean / Unmodified audit opinion issued by Statutory Auditor KKC & Associates LLP across FY24, FY25, and FY26. No qualifications, reservations, or adverse remarks.

OK

Auditor's Report on Restated Financial Statements, p.320-325

72

Aggressive revenue-recognition policy?

In line with Ind AS 115: Revenue from sale of bullion is recognized at a point in time upon transfer of control/delivery and price confirmation; commission/fee income recognized upon execution of trade. Consistent standard policies.

OK

Restated Financials Note 2(B), p.335-336

LAYERS 5 & 6 • GOVERNANCE & RPT

Governance Architecture & Related Party Transactions

Promoters have three decades of bullion expertise and draw modest salaries (₹1.44 cr total WTD remuneration in FY26, <0.5% of PAT) with zero shares pledged. The board has 50% independent directors with reputable backgrounds. However, the sprawling web of group entities (RBL, Finkurve, Aranath) and multi-thousand-crore inter-company loan rotations create substantial governance overhang, reinforced by past SEBI restraint orders and historical circular trading tax inquiries involving group entities.

Pre & Post-Issue Shareholding Structure

Shareholder Category / Promoter	Pre-IPO %	Post-IPO %	Pledge Status	Statutory Lock-in
-	-	-	Nil	Standard
-	-	-	Nil	Standard

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
73	Promoter background and track record	Promoters: Ketan Bhawarlal Kothari, Mohinidevi Bhawarlal Kothari, Kalawati Prithviraj Kothari, Vivek Prithviraj Kothari, Namita Ketan Kothari. Promoters have over 3 decades of experience in the bullion and jewellery trade. However, promoter entity Riddisiddhi Bullions Limited (RBL) has a history of regulatory scrutiny with SEBI and circular trading tax investigations.	Watch	Our Promoters, p.310-318; Risk Factors, p.52, 424
Where in DRHP: 'Our Promoters', 'Management' Why It Matters: The quality and integrity of stewardship. Benchmark / Red Flag Trigger: Prior failure/fraud = flag Exact Citation: Our Promoters, p.310-318; Risk Factors, p.52, 424
74	Promoter holding pre-IPO	92.75% (77,448,478 equity shares out of 83,505,486 total shares held by Promoters and Promoter Group). Overwhelming majority promoter control.	OK	Capital Structure, p.107, 123
Where in DRHP: 'Capital Structure' Why It Matters: Skin in the game today. Benchmark / Red Flag Trigger: - Exact Citation: Capital Structure, p.107, 123
75	Promoter holding post-IPO	Post-issue promoter holding will be ~84.8% (74,846,956 shares out of 91,373,506 post-issue shares at ₹788 issue price), maintaining strong ownership alignment well above the 20% minimum lock-in threshold.	OK	Capital Structure, p.107; The Offer, p.79
Where in DRHP: 'Capital Structure' Why It Matters: Alignment going forward. Benchmark / Red Flag Trigger: Very low post-IPO = misalignment Exact Citation: Capital Structure, p.107; The Offer, p.79
76	Promoter share pledge	Zero shares pledged. None of the equity shares held by the Promoters or Promoter Group are pledged or otherwise encumbered as of the date of RHP.	OK	Capital Structure, p.116, 124
Where in DRHP: 'Capital Structure', Risk Factors Why It Matters: Pledging signals financial stress. Benchmark / Red Flag Trigger: Any meaningful pledge = flag Exact Citation: Capital Structure, p.116, 124
77	Promoter / KMP remuneration vs PAT and peers	Total Whole-time Directors remuneration was ₹1.44 cr (₹7.20m each to Ketan Kothari and Mahendra Bafna) in FY26, representing only ~0.41% of FY26 PAT (₹348.30 cr). Total KMP/SMP remuneration is very modest (<1.5% of PAT).	OK	Management, p.290; Restated Financials Note 32, p.356
Where in DRHP: 'Management' Why It Matters: Cash extraction relative to profits. Benchmark / Red Flag Trigger: High pay vs PAT = flag Exact Citation: Management, p.290; Restated Financials Note 32, p.356
78	Group structure - complex / circular / many entities?	Moderately complex group structure with multiple promoter-controlled entities (Riddisiddhi Bullions Ltd, Finkurve Financial Services Ltd, RSBL Builders LLP, Aranath Real Estate Pvt Ltd, Goldella Precious Metals) engaging in extensive inter-company bullion sales, purchases, and massive loan turnovers with the issuer.	Flag	Our Group Companies, p.441-445; Summary RPT, p.86-94
Where in DRHP: 'Our Group Companies' Why It Matters: Complexity is where value and leakage hide. Benchmark / Red Flag Trigger: Complex web = flag Exact Citation: Our Group Companies, p.441-445; Summary RPT, p.86-94
79	Auditor - reputable? Recent change or resignation?	Audited by M/s KKC & Associates LLP (formerly Khimji Kunverji & Co LLP, ICAI FRN 105146W/W100621), a well-established reputable firm. No mid-term auditor resignation.	OK	Auditors, p.98, 320
Where in DRHP: 'Auditors', history Why It Matters: Audit credibility and any pre-IPO churn. Benchmark / Red Flag Trigger: Resignation before IPO = flag Exact Citation: Auditors, p.98, 320
80	CFO / KMP churn before the IPO	Minimal churn. Whole-time directors Ketan Kothari and Mahendra Bafna have been on board since 2012/2013; CFO Spardha Sharma appointed in 2024; Company Secretary Krithika Shah resigned on May 30, 2025 and Sunny Parekh was appointed. Stable senior executive team.	OK	Our Management, p.284-295
Where in DRHP: 'Management', history Why It Matters: Instability in key finance roles before listing. Benchmark / Red Flag Trigger: CFO exit pre-IPO = flag Exact Citation: Our Management, p.284-295
81	Board: proportion of independent directors	4 out of 8 directors (50.0%) are Non-Executive Independent Directors, including 1 woman Independent Director, fully complying with Companies Act 2013 and SEBI Listing Regulations.	OK	Our Management, p.284
Where in DRHP: 'Management' Why It Matters: Strength of independent oversight. Benchmark / Red Flag Trigger: Below norms = flag Exact Citation: Our Management, p.284
82	Independent-director credentials - real or token?	Strong, credible credentials: (1) Cavale Narayanrao Raghupati (ex-Infosys VP & Head of India Business); (2) Amit Solanki (ex-SEBI officer and governance expert); (3) Minal Bharat Khona (CS & compliance specialist); (4) Suhas Narayan Sahakari (senior banking professional).	OK	Our Management - Brief Profiles, p.286-288
Where in DRHP: Director bios Why It Matters: Whether oversight is actually effective. Benchmark / Red Flag Trigger: Token / related IDs = flag Exact Citation: Our Management - Brief Profiles, p.286-288
83	ESOP / outstanding options - dilution overhang	'Augmont Enterprises Limited ESOP Plan - 2025' approved; however, zero grants or options have been issued as on date of RHP. No dilution overhang.	OK	Capital Structure, p.130
Where in DRHP: 'Capital Structure' Why It Matters: Future dilution of your stake. Benchmark / Red Flag Trigger: Large unvested pool = caution Exact Citation: Capital Structure, p.130
84	Lock-in: promoter and anchor / pre-IPO investors	20% minimum promoter contribution locked in for 18 months; remaining pre-IPO shares locked in for 6 months from Allotment. Anchor investors locked in (50% for 30 days, 50% for 90 days) per SEBI ICDR Regulations.	OK	Capital Structure, p.115-117
Where in DRHP: 'Capital Structure' Why It Matters: Share supply that hits the market post-listing. Benchmark / Red Flag Trigger: Big near-term unlocks = caution Exact Citation: Capital Structure, p.115-117
85	Past corporate-governance issues / regulatory strictures	SEBI in the past passed an order restraining promoter entity Riddisiddhi Bullions Limited (RBL) from dealing in securities (disclosed in Risk Factor #24). In 2019, CGST conducted search into alleged circular trading in gold bullion against company and Ketan Kothari (writ petition pending).	Flag	Risk Factor #24, p.52; Outstanding Litigation, p.424
Where in DRHP: Risk Factors, Litigation Why It Matters: A pattern of past behaviour. Benchmark / Red Flag Trigger: Any history = flag Exact Citation: Risk Factor #24, p.52; Outstanding Litigation, p.424

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

86

Sales to related parties (% of revenue)

Sales to related parties: FY24 ₹2,840.66 cr (8.13% of revenue) → FY25 ₹7,873.71 cr (11.89%) → FY26 ₹25,830.40 cr (27.42% of revenue!). Sales to Riddisiddhi Bullions Limited (RBL) alone accounted for ₹25,826.31 cr (27.42% of FY26 revenue). Exceeds the red-flag trigger.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26
₹2,840	₹7,873	₹25,830	revenue)

Flag

Summary of Related Party Transactions, p.86-94; Restated Note 36 E, p.364

87

Purchases from related parties (% of costs)

Purchases from related parties: FY24 ₹1,239.44 cr (3.57% of procurement) → FY25 ₹5,309.79 cr (8.07%) → FY26 ₹5,953.82 cr (6.36% of procurement). Purchases from RBL alone were ₹5,953.58 cr in FY26 and ₹2,660.93 cr in FY25. Substantial RPT procurement.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26	FY25
₹1,239	₹5,309	₹5,953	and ₹2,660	. Substantial RPT procurement

Flag

Summary of Related Party Transactions, p.86-94; Risk Factor #4, p.30-31

88

Loans / advances to promoter or related entities

Massive short-term loan turnover: Loans given to RBL in FY26 were ₹6,741.88 cr (₹6,629.19 cr received back); loans given to Finkurve Financial Services ₹103.50 cr; loans given to Aranath Real Estate ₹117.53 cr. As of March 31, 2026, outstanding loans & advances to related parties stood at ₹119.12 cr (including ₹113.98 cr to RBL).

Flag

Restated Financials Note 12, p.348; Summary RPT, p.88-91

89

Rent / royalty / brand fees paid to related parties

Rent paid to related parties (RSBL Builders LLP ₹0.58 cr, Mohinidevi Kothari ₹0.33 cr, Badami Investments ₹0.07 cr, Supama Realtors ₹0.06 cr, etc.) totaled ₹1.46 cr in FY26. No royalty paid to promoters for 'Augmont' brand. Modest absolute amounts.

OK

Summary of Related Party Transactions, p.86-94

90

Outstanding RPT balances (receivable / payable)

Outstanding balances as of March 31, 2026: Loans & advances receivable from related parties = ₹119.12 cr (₹1,191.23m, primarily RBL ₹113.98 cr); Trade & other receivables = ₹0.04 cr; Trade & other payables = ₹0.18 cr. Sizable loan exposure to promoter group entity.

Flag

Restated Financials Note 12, p.348; Summary RPT, p.86-94

91

RPT trend over 3 years

Increasing and intensifying sharply: Sales to related parties rose from ₹2,840.66 cr (8.13%) in FY24 to ₹7,873.71 cr (11.89%) in FY25 and ₹25,830.40 cr (27.42%) in FY26. Loan transactions expanded from ₹2,377 cr in FY24 to ₹6,974 cr in FY26. Clear rising RPT trend.

Multi-Period Trend Breakdown

FY24	FY25	FY26
to ₹7,873	and ₹25,830	. Loan transactions expanded from ₹2,377 cr in FY24 to ₹6,974 cr in FY26

Flag

Summary of Related Party Transactions, p.86-94

92

Disclosed at arm's length? Pricing basis?

Disclosed as entered into in the ordinary course of business and on an arm's length basis pursuant to Section 188 of Companies Act 2013 and Audit Committee omnibus approvals. Bullion trades priced based on prevailing market spot rates; interest charged on inter-corporate loans.

Watch

Summary of Related Party Transactions, p.86; Restated Note 36 E, p.364

93

Overall RPT concern level (Low / Medium / High)

High. Sizable volume concentration: RBL alone accounts for 27.42% of revenue and 6.36% of procurement in FY26, alongside >₹6,700 cr in annual short-term loan churning and ₹113.98 cr in year-end loan balances. The financial inter-linkage between issuer and promoter group entities is very heavy.

Flag

Synthesised from Layer 6 checkpoints #86-#92; p.86-94, 348, 364

LAYER 7 • LITIGATION & REGULATORY

Litigation, Tax Disputes & Materiality Sizing

Outstanding legal proceedings represent standard commercial and tax disputes with low aggregate materiality relative to net worth.

Outstanding Legal & Tax Dispute Summary

Litigation / Regulatory Category	Case Count	Quantifiable Exposure	Materiality & Balance Sheet Risk
Tax & Customs Duty Disputes	1	₹13.40 Cr	Evaluated
Auditor IFCoFR Opinion	1	₹0.00 Cr	Evaluated

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
94	Criminal cases against promoters / directors	No outstanding criminal cases registered directly against promoters or directors. (Namita Kothari filed a criminal complaint as complainant for cheating recovery of ₹2.6m against Jayantibhai Soni; Ketan Kothari was petitioner in 2019 criminal writ for arrest protection during CGST search).	OK	Outstanding Litigation, p.424, 428-429
Where in DRHP: 'Outstanding Litigation' Why It Matters: An integrity red flag that can override the numbers. Benchmark / Red Flag Trigger: Any = serious flag Exact Citation: Outstanding Litigation, p.424, 428-429
95	Material civil / commercial cases - company	Summary Commercial Suit No. 180 of 2017 against Eskaybee International Pvt Ltd decreed in favor of Company for ₹23.78 cr (now ₹36.41 cr with interest as of June 2024); execution application pending. Writ petition before Telangana HC against MSTC/SPMCIL challenging cancellation of 906.9 kg silver auction (₹10.63 cr potential claim).	Watch	Outstanding Litigation, p.424-425
Where in DRHP: 'Outstanding Litigation' Why It Matters: Direct business and financial risk. Benchmark / Red Flag Trigger: - Exact Citation: Outstanding Litigation, p.424-425
96	Direct + indirect tax disputes and amounts	8 pending tax proceedings aggregating ₹13.51 cr (₹135.10 million): Direct tax = 1 case of ₹0.66 cr (₹6.58m); Indirect tax = 7 cases of ₹12.85 cr (₹128.52m), including ₹6.61 cr TRAN-1 countervailing duty credit dispute before Delhi HC.	Watch	Outstanding Litigation, p.425-426
Where in DRHP: 'Outstanding Litigation' Why It Matters: Contingent cash outflows. Benchmark / Red Flag Trigger: Large vs PAT = flag Exact Citation: Outstanding Litigation, p.425-426
97	Regulatory / statutory actions (SEBI, RBI, environmental, labour)	No active direct SEBI or RBI penalties against Company or Promoters in last 5 years. Cyber crime freeze actions (Axis Bank ₹1.08 cr lien in Navi fraud; SBI account ₹1.39 cr freeze) subject to pending High Court / Magistrate proceedings.	Watch	Outstanding Litigation, p.422-424, 427
Where in DRHP: 'Outstanding Litigation' Why It Matters: Signals compliance culture. Benchmark / Red Flag Trigger: Active actions = flag Exact Citation: Outstanding Litigation, p.422-424, 427
98	Total quantifiable amount involved	Total quantifiable claims/disputes against the Company: ₹13.51 cr (₹135.10 million) in tax proceedings + ₹15.06 cr in contingent liabilities + disputed cyber liens of ~₹2.61 cr.	OK	Outstanding Litigation, p.425; Summary of Contingent Liabilities, p.85
Where in DRHP: Litigation summary Why It Matters: Sizing the aggregate exposure. Benchmark / Red Flag Trigger: - Exact Citation: Outstanding Litigation, p.425; Summary of Contingent Liabilities, p.85
99	Materiality vs PAT and net worth	Quantifiable tax claims (₹13.51 cr) represent ~3.88% of FY26 PAT (₹348.30 cr) and ~1.45% of Net Worth (₹932.75 cr). Well below the company's Board materiality threshold of ₹18.66 cr (2% of net worth). Manageable financial impact.	OK	Outstanding Litigation, p.422, 425; Restated BS, p.327
Where in DRHP: Compare Why It Matters: Whether the exposure is survivable. Benchmark / Red Flag Trigger: Multiple of PAT / net worth = flag Exact Citation: Outstanding Litigation, p.422, 425; Restated BS, p.327
100	Any case threatening a key licence or the business model?	No existential threat to core refining or trading licenses. However, digital gold regulatory uncertainty and cyber police account freezing actions (e.g. Navi platform disputed transactions) represent recurring operational risks for the fintech division.	Watch	Outstanding Litigation, p.427; Risk Factor #17, p.46
Where in DRHP: Litigation, Risk Factors Why It Matters: Existential risk to operations. Benchmark / Red Flag Trigger: Yes = serious flag Exact Citation: Outstanding Litigation, p.427; Risk Factor #17, p.46

LAYER 8 • VALUATION & PEER BENCHMARK

Valuation: Peer Comparison & Multiples Benchmark

Valuation benchmark indicates competitive pricing relative to listed industry peers and forward earnings power.

Listed Industry Peer Valuation Benchmark

Company Name / Peer Benchmark	P/E (x)	EV/EBITDA	P/S (x)	ROE (%)	ROCE (%)	YoY Growth	PAT Margin
Augmont Enterprises Limited	20.7x	18.6x	-	-	40.3%	-	-
Rajesh Exports Limited	24.5x	16.2x	-	-	8.2%	-	-
MMTC Limited	35.0x	22.0x	-	-	6.5%	-	-
Industry Benchmark	29.8x	19.1x	-	-	7.4%	-	-

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

101

IPO P/E (post-issue, upper band)

At the Issue Price of ₹788 per share, the post-issue P/E multiple is 19.48× based on FY26 Basic/Diluted EPS of ₹40.45 (and 29.30× based on FY25 EPS of ₹26.89). This represents a reasonable valuation for a company growing earnings at >100% CAGR, but is elevated relative to its 0.41% EBITDA margins.

OK

Basis for Offer Price, p.144; Restated Financials, p.328

102

Peer P/E - and is the peer set fair or cherry-picked?

No direct listed peers in India or globally operate an identical integrated spot bullion exchange and refining business model. Traditional jewellery retailers (Titan ~85×, Kalyan ~65×, Senco ~40×) command much higher P/E multiples, but enjoy vastly superior gross margins (12-25% vs 0.62%). At 19.48×, Augmont is priced at a discount to jewellery retailers but at a premium to pure commodity traders.

Watch

Basis for Offer Price, p.145, 149

103

EV / EBITDA vs peers

At ₹788 per share, post-issue Equity Value is ₹7,200.23 cr. Accounting for ₹620.00 cr fresh issue cash and ₹134.56 cr existing net cash, Implied Enterprise Value (EV) is ~₹6,445.67 cr. On FY26 EBITDA of ₹385.95 cr, Implied EV/EBITDA is 16.70×.

OK

Basis for Offer Price, p.147; Restated Financials, p.327-328

104

Price / Sales (especially if loss-making)

At ₹788 per share and ₹7,200.23 cr post-issue market cap, Price / Sales is extremely low at 0.08× on FY26 revenue of ₹94,186.21 cr, typical for high-turnover wholesale spot bullion trading.

OK

Basis for Offer Price, p.147; Restated P&L, p.328

105

Price / Book

NAV per share as of March 31, 2026 is ₹111.00. At ₹788 issue price, pre-issue Price / Book is 7.10×. Post-issue NAV expands to ₹169.93 per share, bringing post-issue Price / Book to 4.64×.

Watch

Basis for Offer Price, p.145; Restated Balance Sheet, p.327

106

Implied market cap at IPO

At the Issue Price of ₹788 per share across 91,373,506 post-issue equity shares (83,505,486 pre-issue + 7,868,020 fresh issue shares), the Implied Post-Issue Market Capitalization is ₹7,200.23 cr (₹72,002.32 million).

OK

Basis for Offer Price, p.144; Capital Structure, p.107

107

ROE vs peers

Augmont FY26 ROE of 51.04% (3-yr weighted average RoNW = 55.25%) is superior to traditional retail jewellery peers (Titan ~30%, Kalyan ~15-18%), driven by rapid asset turnover and lean equity base, though operating margins are significantly lower.

OK

Basis for Offer Price, p.145, 147

108

ROCE vs peers

Augmont FY26 ROCE of 40.27% (70.10% in FY25, 49.27% in FY24) demonstrates strong capital efficiency relative to traditional retail jewellery peers (typically 15-25%), reflecting asset-light spot trading turnover.

Multi-Period Trend Breakdown

FY26	FY25	FY24
ROCE of 40	, 49	) demonstrates strong capital efficiency relative to traditional retail jewellery peers (typically 15-25%), reflecting asset-light spot trading turnover

OK

Basis for Offer Price, p.147

109

Growth vs peers

3-year revenue CAGR of 64.22% (FY24 ₹34,921 cr → FY26 ₹94,186 cr) and PAT CAGR of 114.12% outpaces broader jewellery and commodity trading peers, driven by rising gold prices and SPOT market share gains.

OK

Basis for Offer Price, p.147; Restated P&L, p.328

110

Margins vs peers

EBITDA margin of 0.41% and PAT margin of 0.37% in FY26 are paper-thin compared to jewellery retailers (EBITDA margins 7-14%), because Augmont is primarily a high-volume B2B bullion exchange & refiner, not a retail brand earning making charges.

Watch

Basis for Offer Price, p.147; MD&A, p.391

111

IPO price vs WACA / pre-IPO placement (the markup)

Issue price of ₹788 represents: (1) a 1.86× markup (85.8% premium) over 3-year Secondary WACA of ₹424.03; (2) a 1.16× markup (16.1% premium) over the August 2025 private placement to Utpal Sheth at ₹678.51; and (3) a 20.5% discount to May 2026 secondary transfers at ₹991.00 per share.

OK

Basis for Offer Price, p.150-153

112

Is the premium justified by ROCE / ROE / growth / margins?

At 19.48× FY26 P/E and 16.70× EV/EBITDA, valuation is fair given explosive earnings growth (114% PAT CAGR) and >50% ROE. However, the premium over pure trading peers is constrained by 0.41% EBITDA margins, negative FY26 CFO (-₹42.16 cr), and 27.4% RPT dependence on RBL.

Watch

Synthesised from Layers 4, 6 & 8

113

What growth does the price implicitly assume?

At ₹788 (19.48× P/E), the valuation assumes 20-25% medium-term earnings growth, sustaining >₹1,00,000 cr annual bullion turnover, scaling higher-margin consumer digital gold / gold loan enablement fees, and improving cash conversion to support working capital.

Watch

MD&A, p.388; Basis for Offer Price, p.147

LAYER 9 • STATED RISK ADMISSIONS

In The Company's Own Words: Stated Risk Admissions

Management highlights key operational sensitivities including raw material pricing, client concentration, and execution timelines.

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
114	Top 5 risk factors the company itself lists	(1) Platform dependency on 'Augmont SPOT' and 'Augmont Gold For All' (IT downtime/cyber risk); (2) Volatility in market prices of gold/silver impacting demand and inventory valuation; (3) Heavy dependence on enterprise sales with Top 10 customers accounting for 52.09% of revenue (RBL 27.44%); (4) Procurement dependency on top suppliers (Top 5 = 58.24%) without long-term agreements; (5) Past regulatory restraint against promoter entity RBL and pending CGST search writ.	Watch	Risk Factors #1-#5, #24, p.26-34, 52
Where in DRHP: 'Risk Factors' Why It Matters: Management's own stated worries - read them first. Benchmark / Red Flag Trigger: - Exact Citation: Risk Factors #1-#5, #24, p.26-34, 52
115	Any genuine dealbreaker buried in boilerplate?	Sizable interconnected party loop: 27.42% of revenue sold to promoter entity RBL, 6.36% procured from RBL, >₹6,700 cr annual short-term loan churning with RBL, and ₹113.98 cr outstanding loan to RBL as of March 31, 2026. Coupled with negative CFO in FY26 (-₹42.16 cr) and past SEBI/tax scrutiny on RBL.	Flag	Risk Factors, p.30-34, 52; Restated Note 12, p.348; Note 36 E, p.364
Where in DRHP: 'Risk Factors' Why It Matters: The serious risks hide among generic ones; find them. Benchmark / Red Flag Trigger: - Exact Citation: Risk Factors, p.30-34, 52; Restated Note 12, p.348; Note 36 E, p.364
116	Quantified risks (e.g. 'X would cut revenue by Y%')	(1) Top 1 customer (RBL) loss represents 27.44% of revenue (₹25,847 cr); (2) Top 5 suppliers disruption affects 58.24% of procurement (₹54,560 cr); (3) Pending tax disputes quantify ₹13.51 cr; (4) SPMCIL silver auction dispute claims ₹10.63 cr loss; (5) Disputed cyber fraud transactions on Navi platform of ₹1.08 cr caused bank account freeze.	Watch	Risk Factors, p.29-33; Outstanding Litigation, p.425-427
Where in DRHP: 'Risk Factors' Why It Matters: The risks management bothered to quantify are usually the real ones. Benchmark / Red Flag Trigger: - Exact Citation: Risk Factors, p.29-33; Outstanding Litigation, p.425-427
117	Going-concern or liquidity language anywhere?	No going-concern doubts or liquidity warnings in Statutory Auditor's Report or Notes to Accounts. Business is net cash positive (₹147.24 cr cash & bank balances vs ₹12.67 cr debt), though working capital volatility requires active liquidity management.	OK	Auditor's Report, p.320-325; Restated Balance Sheet, p.327
Where in DRHP: Risk Factors / Auditor Why It Matters: A direct signal of survival risk. Benchmark / Red Flag Trigger: Any going-concern language = serious flag Exact Citation: Auditor's Report, p.320-325; Restated Balance Sheet, p.327

AUDIT TALLY • 117-CHECKPOINT RISK MATRIX

Red-Flag Dashboard: 117-Checkpoint Audit Tally

74

Checkpoints Clean (OK)

27

Watchlist Monitor Rows

15

High-Severity Red Flags

117

Total Forensic Checkpoints

L1 Story & Positioning

7 3 0

L2 Issue Structure & Objects

14 2 0

L3 Business Quality

8 7 2

L4 Financial Quality

22 2 4

L5 Governance

10 1 2

L6 Related Party Transactions

1 1 6

L7 Litigation & Regulatory

3 4 0

L8 Valuation

8 5 0

L9 The Company's Own Risk Factors

1 2 1

Layer 1: Story & Positioning

7 OK 3 Watch 0 Flag

Layer 2: Issue Structure & Objects

14 OK 2 Watch 0 Flag

Layer 3: Business Quality

8 OK 7 Watch 2 Flag

Layer 4: Financial Quality

22 OK 2 Watch 4 Flag

Layer 5: Governance

10 OK 1 Watch 2 Flag

Layer 6: Related Party Transactions

1 OK 1 Watch 6 Flag

Layer 7: Litigation & Regulatory

3 OK 4 Watch 0 Flag

Layer 8: Valuation

8 OK 5 Watch 0 Flag

Layer 9: The Company's Own Risk Factors

1 OK 2 Watch 1 Flag

How To Read This Risk Matrix

These tallies reflect the 117 checkpoints evaluated across the 9 analytical layers. In institutional forensic analysis, clusters matter far more than isolated totals: an amber or red flag in Layer 4 (Financial Quality) or Layer 5 (Governance) carries exponentially higher structural weight than narrative observations in Layer 1. Always evaluate flags against company peers and industry context.

Statutory Educational Compliance & Analyst Disclaimer

This research report is prepared strictly for educational and informational purposes only and does not constitute financial, investment, legal, tax, or underwriting advice. Neither IPrOspecta nor the author (Tanish Vijayvargiya) is a SEBI-registered Research Analyst or SEBI-registered Investment Adviser under the SEBI (Research Analysts) Regulations, 2014 or SEBI (Investment Advisers) Regulations, 2013.

Nothing in this publication should be construed as an explicit or implicit recommendation, solicitation, endorsement, or offer to buy, sell, subscribe to, or hold any security, IPO application, or financial product. Prospective investors must conduct their own independent due diligence, carefully review the complete Red Herring Prospectus (RHP) / Draft Red Herring Prospectus (DRHP) filed with SEBI and the stock exchanges, and consult a qualified, SEBI-registered financial adviser before committing capital.

Position Disclosure: The author and IPrOspecta maintain zero commercial affiliation with the issuer company, book running lead managers, selling shareholders, or syndicate underwriters. All opinions expressed represent personal analytical frameworks.