Board Decisions

The Board approved and took on record the Audited Standalone Balance Sheet & Profit & Loss Account for the quarter and financial year ended 31st March, 2026.

The Board approved the appointment of M/s. M K Ghatiya & Associates, Company Secretaries as the Internal Auditor of the Company for the Financial Year 2026-27.

Auditor's Report & Qualified Opinion

The independent auditors, Gautam N Associates, Chartered Accountants (FRN 103417W), issued a qualified opinion on the financial statements. The qualification specifically relates to the company not making provision for gratuity liability in respect of its employees as required under applicable Accounting Standards and the provisions of the Companies Act, 2013. This is detailed in Note No. 34 to the Financial Statements.

The auditors stated that except for this matter, the financial statements give a true and fair view in conformity with Indian Accounting Standards (Ind AS). The audit was conducted in accordance with Standards on Auditing (SAs).

Financial Highlights (Standalone, as of March 31, 2026)

  • Total Assets: ₹2,382.19 Lakhs (Previous Year: ₹2,787.06 Lakhs)
  • Total Equity: ₹2,282.68 Lakhs (Previous Year: ₹2,239.63 Lakhs)
  • Equity Share Capital: ₹64.00 Lakhs (unchanged)
  • Other Equity: ₹2,218.68 Lakhs (Previous Year: ₹2,175.63 Lakhs)
  • Net Worth: ₹2,336.75 Lakhs
  • Total Liabilities: ₹45.44 Lakhs (This figure appears inconsistent with the balance sheet total; the balance sheet lists total equity and liabilities as ₹2,382.19 Lakhs)
  • Net Profit for FY26: ₹43.05 Lakhs
  • Earnings Per Share (EPS): ₹6.73 (Basic and Diluted, Face Value ₹10)
  • Cash and Cash Equivalents: ₹0.28 Lakhs (Previous Year: ₹6.65 Lakhs)

Key Findings from Annexure A (CARO 2020)

  • Property, Plant and Equipment (PPE): Records are maintained properly. A physical verification program exists (over 3 years), and no material discrepancies were found. Title deeds of immovable properties are held in the company's name.
  • Inventory: Physically verified by management. No inventory at year-end.
  • Loans to Related Parties: The company has granted a loan/advance to one related party (other than subsidiary, JV, associate). The aggregate amount granted during the year was Nil, but the outstanding balance at year-end is ₹1,997.99 Lakhs. The terms are not prejudicial, repayments are regular, and no amounts are overdue for more than ninety days.
  • Statutory Dues: The company is generally regular in depositing undisputed statutory dues. Undisputed dues outstanding for more than six months: ₹5.08 Lakhs for ESIC and ₹0.98 Lakhs for Service Tax, with appeals pending.
  • Default: The company has not defaulted in repayment of dues to financial institutions or banks and is not a wilful defaulter.
  • Fraud: No fraud by or on the company was reported or noticed during the year.
  • Internal Audit: The company has an internal audit system commensurate with its size and nature.
  • Cash Losses: The company did not incur cash losses in the current or immediately preceding financial year.
  • Going Concern: No material uncertainty exists regarding the company's ability to continue as a going concern.

Internal Financial Controls (Annexure B)

The auditors opine that the company has, in all material respects, an adequate internal financial controls system over financial reporting and that such controls were operating effectively as of March 31, 2026.

Management's View on Audit Qualification

In the Annexure-I statement on the impact of audit qualifications:

  • The management states that with only two employees on the payroll, no labour laws are applicable to the company.
  • Consequently, the financial impact of not providing for gratuity is deemed "presently not quantifiable or estimable."
  • The auditors commented that in the absence of an actuarial valuation or reliable estimate, they are unable to determine the extent of adjustment required for employee benefit expenses and the resulting impact on the Statement of Profit and Loss.

Other Disclosures

  • No final or interim dividend was declared or paid during the year.
  • No remuneration was paid to directors during the year.
  • Pending litigations have been disclosed in the financial statements (Note 21).
  • The company has used accounting software with an operational audit trail (edit log) feature throughout the year.