This paper describes our system for SemEval-2025 Task 10: Hierarchical Narrative Classification. We propose a two-step hierarchical approach that combines generative reasoning and fine-tuning for sub-narrative classification. The main techniques of our system are: 1) leveraging a large pre-trained model to generate a reasoning process for better context understanding, 2) fine-tuning the model for precise sub-narrative categorization, 3) using a multi-label classification strategy for more accurate sub-narrative identification, and 4) incorporating data augmentation to increase the diversity and robustness of the training data. Our system ranked 1st in Subtask 2 for Hindi, achieving an F1 macro coarse score of 0.56900 and an F1 samples score of 0.53500. The results demonstrate the effectiveness of our approach in classifying narratives and sub-narratives in a multilingual setting, with the additional benefit of enhanced model performance through data augmentation.