Financial Results - Standalone (Amounts in ₹ Lakhs)

  • Revenue from Operations: ₹1,993.36 for Q1 FY27 (Q1 FY26: ₹2,769.48; Q4 FY26: ₹3,873.77; FY26: ₹11,393.66)
  • Other Income: ₹251.78 for Q1 FY27 (Q1 FY26: ₹30.35; Q4 FY26: ₹37.84; FY26: ₹263.27)
  • Total Income: ₹2,245.14 for Q1 FY27 (Q1 FY26: ₹2,799.83; Q4 FY26: ₹3,911.61; FY26: ₹11,656.93)
  • Total Expenses: ₹2,268.91 for Q1 FY27 (Q1 FY26: ₹2,570.18; Q4 FY26: ₹4,355.57; FY26: ₹12,094.23)
  • Loss Before Tax: ₹23.77 for Q1 FY27 (Q1 FY26 Loss: ₹75.35; Q4 FY26 Profit: ₹83.83; FY26 Loss: ₹367.06)
  • Net Loss: ₹23.77 for Q1 FY27 (Q1 FY26 Loss: ₹75.35; Q4 FY26 Profit: ₹171.64; FY26 Loss: ₹279.25)
  • Paid-up Equity Share Capital: ₹17,752.24 as of June 30, 2026 (March 31, 2026: ₹17,611.99)
  • Loss Per Share (Basic & Diluted): ₹(0.01) for Q1 FY27 (Q1 FY26: ₹(0.04); Q4 FY26: ₹0.10; FY26: ₹(0.16))
  • Accumulated Losses: ₹1,07,683.55 as of June 30, 2026
  • Current Liabilities Exceed Current Assets by: ₹6,081.20 as of June 30, 2026

Financial Results - Consolidated (Amounts in ₹ Lakhs)

  • Revenue from Operations: ₹6,845.07 for Q1 FY27 (Q1 FY26: ₹9,051.13; Q4 FY26: ₹9,224.29; FY26: ₹38,643.79)
  • Other Income: ₹323.98 for Q1 FY27 (Q1 FY26: ₹57.19; Q4 FY26: ₹806.79; FY26: ₹1,630.03)
  • Total Income: ₹7,169.05 for Q1 FY27 (Q1 FY26: ₹9,108.32; Q4 FY26: ₹10,031.08; FY26: ₹40,273.82)
  • Total Expenses: ₹7,134.59 for Q1 FY27 (Q1 FY26: ₹8,647.22; Q4 FY26: ₹9,877.54; FY26: ₹38,988.41)
  • Profit Before Tax: ₹34.46 for Q1 FY27 (Q1 FY26: ₹156.10; Q4 FY26: ₹678.33; FY26: ₹765.65)
  • Net Loss: ₹2.63 for Q1 FY27 (Q1 FY26 Profit: ₹56.43; Q4 FY26 Profit: ₹665.41; FY26 Profit: ₹523.61)
  • Attributable to Equity Holders: Profit of ₹3.86 for Q1 FY27 (Q1 FY26 Profit: ₹74.88; Q4 FY26 Profit: ₹600.23; FY26 Profit: ₹437.29)
  • Paid-up Equity Share Capital: ₹17,752.24 as of June 30, 2026 (March 31, 2026: ₹17,611.99)
  • Earnings Per Share (Basic & Diluted): ₹0.00 for Q1 FY27 (Q1 FY26: ₹0.04; Q4 FY26: ₹0.34; FY26: ₹0.25)

Auditor's Disclaimer of Conclusion

The statutory auditors, MRKS and Associates, issued a disclaimer of conclusion on both standalone and consolidated results due to:

1. Going Concern Uncertainty: Net loss of ₹23.77 lakh, accumulated losses of ₹1,07,683.55 lakh, current liabilities exceeding current assets by ₹6,081.20 lakh, acute liquidity problems from delayed receivables, lenders filing DRT applications, and delayed borrowings classified as NPAs.

2. Unaccrued Interest: The company has not recognized interest on NPA borrowings aggregating ₹218.46 lakh for the quarter and ₹4,154.39 lakh accumulated as of June 30, 2026, pending renegotiation with lenders.

3. Tanzania Branch: A material uncertainty exists regarding the Tanzania branch's ability to continue as a going concern.

The audit reports for Q1 FY26 and FY26 also included disclaimers for the same matters.

Legal and Regulatory Matters

1. Arbitration with Sugar Mills: Disputes over three cogeneration power plants. Arbitral awards totaling ₹7,234.73 lakh plus interest were passed against the company in 2021. The company challenged these under Section 34 of the Arbitration Act. The Punjab & Haryana High Court appointed a Sole Arbitrator on December 5, 2025. The carrying value of the plants is fully impaired.

2. EOW Investigation: The Economic Offences Wing - Anti-Corruption Bureau, Chhattisgarh, is investigating contracts executed by subsidiary A2Z Infraservices Ltd with Chhattisgarh State Marketing Corporation Limited. Mr. Amit Mittal, Managing Director of A2Z Infra and Non-Executive Director of the subsidiary, was taken into judicial custody on May 13, 2026, and granted bail by the Chhattisgarh High Court on July 3, 2026. The subsidiary has invoked arbitration against Chhattisgarh State Marketing Corporation for recovery of dues.

Exceptional Items (Standalone)

  • Q4 FY26: Net exceptional gain of ₹527.79 lakh, primarily from loan settled on behalf of subsidiary (₹6,360.90 lakh), liabilities written back (₹1,084.25 lakh), and provision on debtors written back (₹262.71 lakh), offset by provision on loans from associates (₹7,180.07 lakh).
  • Q1 FY25: Net exceptional loss of ₹305.00 lakh from amount paid/payable towards disputed liability.
  • FY26: Net exceptional gain of ₹70.24 lakh.

Operational Segments (Consolidated)

The group operates in Engineering Services (ES), Facility Management Services (FMS), Municipal Solid Waste (MSW), and Others.

  • Q1 FY27 Segment Revenue: ES ₹2,024.36 lakh, FMS ₹2,935.67 lakh, MSW ₹1,916.04 lakh.
  • Q1 FY27 Segment Results: ES Loss ₹31.91 lakh, FMS Loss ₹22.31 lakh, MSW Profit ₹59.01 lakh, Others Loss ₹5.05 lakh.

Subsidiaries and Associates

The consolidated results include 10 subsidiaries and 17 associates, as listed in Annexure 1. The financials of 10 subsidiaries and 17 associates were reviewed by other auditors. Three international branches (Tanzania, Nepal, Uganda) provided management-certified financials.

Board Meeting Details

The board meeting was held on August 12, 2026, from 5:15 PM to 6:00 PM. The results were approved based on the audit committee's recommendations.

Additional Information

The company is in discussions with lenders for settlement of dues and with customers for recovery of trade receivables. Management believes substantial receivables will be realized within the next year and that the company can settle its debts, thus preparing financials on a going concern basis.