Company Overview

Anka India Limited (Scrip Code: 531673) submitted its 32nd Annual Report for FY 2025-26 and regulatory filings detailing significant corporate developments. The company underwent a complete transformation from multiplex/theatre business to IT-enabled services and digital advertising through the acquisition of Futech Internet Private Limited.

Financial Performance

Consolidated Results:

  • Revenue from operations: ₹18.09 crore (FY25: ₹12.96 crore)
  • Net loss: ₹4.63 crore (FY25: ₹3.63 crore loss)
  • Basic EPS: ₹(0.10) (FY25: ₹(0.24))
  • Employee benefits expense surged to ₹14.68 crore from ₹10.90 crore

Standalone Results:

  • Revenue from operations: ₹18.00 lakh (FY25: ₹0.00)
  • Net loss: ₹7.42 crore (FY25: ₹23.23 lakh profit)

Geographical Shift: Revenue composition changed dramatically with 74.8% now from United States (₹13.52 crore) compared to 100% from India in FY25.

Corporate Restructuring & Management Changes

Complete board overhaul occurred on March 5-6, 2026:

  • Resignations: All previous directors including Sulakshana Trikha, Raman Rakesh Trikha, and independent directors
  • New Appointments: Spark Sood (Managing Director), Rahul Sharma (Director), Bharat Sarin (CFO), Sameer Kumar (Company Secretary), and new independent directors
  • Promoter Change: Successful open offer by Amit Sharma (56.12% holding) and Arjit Sachdeva (14.03%) in December 2025

Merger & Capital Structure

  • Share Swap: Completed June 11, 2025 - 10,000 Futech shares exchanged for 3.62 crore Anka India shares at ₹17 per share
  • Reverse Merger: Merger with holding company Anka India pending NCLT Delhi Bench approval (next hearing May 2026)
  • Capital Increase: Authorized share capital raised from ₹24 crore to ₹52 crore

AGM Proposals (September 30, 2026)

Ordinary Business: Adoption of financial statements and re-appointment of Spark Sood

Special Business:

  • Re-appointment of statutory auditors R.S. Prabhu & Associates for five years
  • Revision of MD remuneration to ₹22.50 lakh per annum
  • Enhanced borrowing powers up to ₹100 crore
  • Approval for related party transactions up to ₹100 crore each with Wallet Circle Technologies and Alchemist Corporation

Auditor Qualifications & Compliance

Statutory auditors issued qualified opinions on:

  • Non-assessment of impairment of goodwill amounting to ₹18.96 crores
  • Recognition of MAT Credit Entitlement of ₹35.38 lakhs despite loss history
  • Secretarial audit noted non-compliance with MCA circular regarding independent director attendance

Related Party Transactions

Significant transactions with Wallet Circle Technologies Limited:

  • Revenue: ₹1.01 crore
  • Interest income on loans: ₹16.05 lakh
  • Loan transactions: Gross ₹3.39 crore given, ₹9.04 crore received

Financial Position & Outlook

  • Cash equivalents: ₹26.31 lakh
  • Trade receivables: ₹15.04 lakh
  • No dividend recommended due to losses
  • Company continues to recognize MAT credit of ₹35.37 lakh as asset
  • Merger process expected to streamline corporate structure upon NCLT approval

The company's transformation and management overhaul represent a fundamental shift in business strategy, though financial performance remains challenged with continued losses and auditor qualifications on key accounting treatments.