Company Overview
Baba Arts Limited convened its 27th Annual General Meeting on 3rd November 2026 to address significant corporate developments following a change in control. The company underwent a complete board reconstitution after Skybridge Interactive LLP acquired 74.67% ownership from erstwhile promoter Gordhan P. Tanwani through a share purchase agreement dated 25th February 2026.
Financial Performance
For FY 2025-26, Baba Arts reported total income of ₹15.95 crore and net profit of ₹65.30 lakh. Revenue from operations showed substantial improvement, increasing to ₹14.95 crore from ₹5.59 crore in FY25. Financial ratios presented mixed performance: the current ratio improved dramatically by 232.60% to 34.69, indicating enhanced liquidity, while return on equity declined by 56.71% to 2.99%, reflecting lower profitability. Efficiency metrics showed significant improvement with inventory turnover increasing 310.43% to 4.15 times and trade receivables turnover improving 236.80% to 8.91 times.
Governance Changes
Shareholders ratified the appointment of five new directors, including Ms. Vidya Pishe as Managing Director at an annual remuneration of ₹9.60 lakh for a five-year term. The board composition now includes both executive and independent directors, with newly formed committees for audit, nomination and remuneration, and stakeholder relationships. The company also appointed M/s. G. R. Gupta & Associates as Secretarial Auditor for a five-year term.
Contingent Liabilities and Outlook
The company faces a service tax demand of ₹764.70 lakh plus penalty for FY 2011-12 to 2014-15, with an appeal pending before CESTAT. Baba Arts has deposited ₹270 lakh under protest toward this demand. No dividend was recommended for FY26 to strengthen reserves. The company maintains a debt-free capital structure with no debt-equity ratio for both financial years.